Individualism and Confucian Dynamism: A Note on Hofstede's Cultural Root to Economic Growth
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- Yeh, R. & Lawrence, J. J Int Bus Stud (1995) 26: 655. doi:10.1057/palgrave.jibs.8490191
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Hofstede and his associates have presented statistical evidence purporting to identify a link between national culture and economic growth. This note describes two problems with this line of research. First, two of the dimensions of culture used in this research, individualism and Confucian dynamism, are treated as if they are independent when in fact they appear to be highly interrelated. And second, culture is not a sufficient condition to explain economic growth and is related to other important factors that play a role in determining economic growth. The consequences of these problems on interpretation of the research findings are discussed and recommendations for future research directions are proposed.