How Asia Works by Joe Studwell
How Asia Works by Joe Studwell is an in-depth analysis of economic development and history in Asia. The book focuses on several key economies, including Japan, Taiwan, Korea, Malaysia, the Philippines, Indonesia, and China. Studwell’s analysis centers around three main areas: land policy, manufacturing, and finance. He argues that land reform has been essential to the success of Asian economies, giving a kick start to development by utilizing a large workforce and providing capital for growth.
The book also explores how policies ridiculed by economists created titans in Japan, Korea, and Taiwan, and are now behind the rise of China. Studwell examines the best advice the West could offer and how it sold its allies in South-East Asia down the economic river.
Useful takeaways from How Asia Works include:
- To kick-start economic advancement in developing countries, governments should promote household farming, build a competitive manufacturing industry, and harness the power of the financial sector to benefit the economy as a whole.
- Small-scale household farming is more efficient and creates jobs, while large farms generate few jobs and low agricultural output.
- States need to follow a certain sequence of steps to achieve economic success and not try to do everything at once.
- Land reform has been essential to the success of Asian economies, giving a kick start to development by utilizing a large workforce and providing capital for growth.
Overall, How Asia Works offers a blueprint for other developing nations seeking to achieve sustainable economic growth.
What I Liked
I grew up in Southeast Asia and faintly remember the Asian Financial Crisis. I found this book fascinating even as a standalone business book.
What I Did Not Like
Nothing – it’s very accessible, even for a niche global affairs book.
