Posted by: luvin | June 13, 2016

The Flying Geeze Paradigm in the Philippine Setting

The flying geeze paradigm in Philippine setting. The lead gooze in the country is of course is the National Capital Region (NCR).  With Central Visayas, and Davao Region as the two regions flying beneath the wings of the leader. What is interesting about this is the idea that “as the comparative advantages  of the “lead goose” causes it to shift further and further away from labor-intensive production to more capital-intensive activities it sheds its low-productivity production  further down in the hierarchy…”

Flying geeze theory is  “Akamatsu Kaname’s theory of the flying geese pattern of development.  This theory explains how an undeveloped country can become developed relatively quickly. The undeveloped country adopts suitable labour-intensive industries from more developed countries. It produces first for the home market, but starts to export as soon as the industries have grown strong enough. Initially, products are simple, crude and cheap, but gradually the level of quality is elevated. The procedure is repeated over and over again, leading to a rapid process of national economic development.”

Application of this model in local economy c nsidering the fact that economic characteristics of nations are but mirrors of regional economy. Early on, Japan was the lone economic miracle that made waves in Asia, and as it progresses, the labor intensive industries found its way to other countries.  Lately China took the lead role, but is now slowly and clearly easing out of the way.

In the Philippines, though NCR or  Mega Manila has been on the lead role for centuries, it is very apparent that growth in that regions has reached saturation point, and that a new leader must emerge for the country to progress further. The one hurdle that needs immediate action is this. Is Mega Manila ready to relinquish the lead role? And what role will it take now, specially with the unexpected shift of political power from Manila to Davao.

Mindanao has been the the agri/agro producers of the country. Is this now high time for it to shift to a less labor intensive industry? And what industry would that be?

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