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The Middle-Income Trap Reconsidered: The Case of Asia

  • Hitoshi Osaka
Chapter

Abstract

“Middle-income trap” is a relatively new term in economics that has, however, drawn tremendous attention in the economic development and growth field. Han, Wei (Re-examining the middle-income trap hypothesis (MITH) what to reject and what to revive? NBER Working Paper Series 23126, National Bureau of Economic Research, Mass, Cambridge (2017)) emphasize the importance of the issue by introducing a paper written by Gill, Kharas (The middle-income trap turns ten, 7403, World Bank, Washington, D.C. (2015), the inventors of this term. Using a search of Google Scholar, Gill, Kharas (The middle-income trap turns ten, 7403, World Bank, Washington, D.C. (2015) identify more than 3,000 articles that include the term “middle-income trap”. Many of these studies have analyzed the middle-income trap issue to clarify the phenomenon and investigate the determinants. In this study, we focus on the issue more from the perspective of changes in the industrial structure during economic development and discuss early deindustrialization in middle-income countries as a key factor of this trap.

Notes

Acknowledgements

We gratefully acknowledge the financial support of the Japan Society for the Promotion of Science (JSPS) “Grants-in-Aid for Scientific Research” on this research (Kakenhi (c): No.15K03480). This is a modified version of “The effect of premature deindustrialization on labor productivity and economic growth in Asia,” which was initially presented at the 74th Conference of the Japan Society of International Economics (JSIE), Senshu University, November 8, 2015. This is moreover the second version of the paper presented at the JAAE Spring Session, Kurume University, June 17–18, 2017.

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Copyright information

© Springer Nature Singapore Pte Ltd. 2018

Authors and Affiliations

  1. 1.Kyoto Sangyo UniversityKyotoJapan

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