Compressed Development

In this paper we argue that the path of economic development for would-be developers has changed fundamentally since the 1980s. Focusing on East Asia, and taking a broad perspective that spans the economic and social dimensions of development, we contend that the path charted by the “late development” model has become all but impassible. The path is now better conceived as one of “compressed development.” Key differences are 1) the extent and consequences of compression; 2) the primary mode of engagement with the world economy—via global value chains; and 3) the interaction of these. Compressed development forces states to address a number of simultaneous challenges, resulting in “policy stretch.” We identify key features of an “adaptive state” suited to navigating the path of compressed development.