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The Rise of “The Rest”Challenges to the West From Late-Industrializing Economies$
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Alice Amsden

Print publication date: 2001

Print ISBN-13: 9780195139693

Published to Oxford Scholarship Online: November 2003

DOI: 10.1093/0195139690.001.0001

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Industrializing Late

Industrializing Late

(p.1) 1 Industrializing Late
The Rise of “The Rest”

Alice H. Amsden (Contributor Webpage)

Oxford University Press

This chapter introduces the phenomenon of the rise of a handful of countries outside the North Atlantic —the rest—to the ranks of world‐class competitors in a wide range of mid‐technology industries, so that, although in 1965 the rest had supplied less than a twentieth of world manufacturing output, by 1995 it supplied nearly one‐fifth. The divide among backward countries that had already appeared by the end of the Second World War in the form of manufacturing experience is noted: while the rest (Argentina, Brazil, Chile, Mexico, Turkey, India, China, South Korea, Taiwan, Malaysia, Indonesia) had acquired sufficient manufacturing experience, ‘the remainder’, which had been less exposed to factory life pre‐war, failed to achieve the same industrial diversification. Various characteristic aspects of the rise of the rest are discussed, including: their acquisition of knowledge‐based assets; innovative control mechanisms imposing discipline on economic behaviour and revolving around the principle of reciprocity; globalization in relation to national ownership (with discussion of manufacturing experience and the policy paradox of income distribution); and institution building (with specific reference to Thailand's reciprocal control mechanism).

Keywords:   acquisition of knowledge, Argentina, Brazil, Chile, China, economic controls, globalization, income distribution, India, Indonesia, industrialization, innovation, institution building, knowledge‐based assets, late industrialization, Latin America, Malaysia, manufacturing experience, Mexico, national ownership, newly industrialized countries, reciprocity, South Korea, Taiwan, Thailand, Turkey

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