On June 15th, Professor Wu Yongping was invited to participate in Guangzhou’s "Lingnan Forum" and made a speech on the "East Asian Development Model". Professor Wu analyzed the development experience of East Asian countries and regions, which created an enthusiastic response from the audience.
Professor Wu Yongping pointed out that in the early stages of development in East Asian countries, the government was directly involved in allocating resources, but it has become more important to establish a market environment. In the beginning, governments involved in both resource allocation and the construction of market environment, but then slowly receded from direct resource allocation, and focused on constructing the legal system of the market and improving market quality, which has been the most important experience of East Asian countries’ economic development. China is precisely at this current stage.
Professor Wu Yongping also resolved that after the Second World War, East Asia has experienced three industrial upgrades: the first one was from an upgrade from primary products, labor-intensive products to capital-intensive products; in the eighties, East Asia entered the capital-intensive industrial stage, and it later achieved the transformation of capital to technology-intensive. Now it has entered the third phase, from capital-intensive and technology-intensive to innovation-driven development. Japan and South Korea have completed the third phase of the transition, while Taiwan has not.
The "Lingnan Forum" is hosted by the CPC Guangdong Provincial Party Committee Propaganda Department and the Guangdong Provincial Federation of Social Sciences, and contracted by "Nandu Daily", which is an influential public forum.
