By 2000, the East Asian Orbit centered on Japan will be one of the largest economic power in the world in rivalry with EC and the United States. The development of this orbit has been brought about by the mutation of regional structure triggered by politico-economic changes, by and large involving the whole world. It has encouraged mutual investment, as was the most evident in the investment made in Chinese industries by South Korea and Taiwan. It goes without saying that the purchasing power of the Unied States has been the main driving force for development of all indusries in this orbit and trade frictions with the United States imposed a great pressure on the development of high value added industries and high tech and high touch industries not only in Japan but also in NIEs and even in China. It is argued that if the present politico-economic stability in this orbit deteriora tes, the East Asia Orbit will no longer stay competitive and will lose ground in the world economy. From this point of view, socio-political stability in the C.I.S. and North Korea is in dispensable for the continuous growth of the orbit. Fortunately, at present, a narrow channel exists between Japan and these socialist countries in forms of trade and mutual transit of citizens. Owing to the political changes in these countries, there is a hope to develop a new international industrial system between Japan and these countries, along with the direct investment being made by Chian, Taiwan and South Korea. Keen competition in the newly emerging oligopolistic structure of industries, in Japan, South Korea and even in Taiwan has accelerated and will further promote the development of complex linkages among these countries in the East Asian Orbit. This has been analyzed from a global point of view in the case of the automobile industry. Moreover, shortage of labor force in Japan and in South Korea and in Taiwan is an another driving force for the development of international division of labor. Foreign workers for training purposes will account for 700 thousand in 2000. Thus regular exchange programs among countries involved will be more important than ever. Social securities problems in several world cities will also become a critical issues in terms of maintaining continuous growth of economy in this Orbit. Therefore, exchange projects of administration know how and management information on industries and region will be also important for industrial development in this Orbit, in addition to the above mentioned international cooparation of technology for industries themselves and for the global environment.
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