Dynamic changes in comparative advantage: Japan “flying geese” model and its implications for China
| Published date | 03 October 2008 |
| DOI | https://doi.org/10.1108/17544400810912365 |
| Date | 03 October 2008 |
| Pages | 200-213 |
| Author | Tri Widodo |
| Subject Matter | Economics |
JCEFTS
1,3
200
Journal of Chinese Economic and
Foreign Trade Studies
Vol. 1 No. 3, 2008
pp. 200-213
#Emerald Group Publishing Limited
1754-4408
DOI 10.1108/17544400810912365
Dynamic changes in comparative
advantage: Japan ‘‘flying geese’’
model and its implications
for China
Tri Widodo
Gadjah Mada University, Yogyakarta, Indonesia and Hiroshima University of
Economics, Hiroshima, Japan
Abstract
Purpose – The purpose of this paper is to examine the Japan flying geese (FG) model and its
implications for China.
Design/methodology/approach – Data on exports and imports three-digit the standard international
trade clasification (SITC) Revision 2 from UN-COMTRADE are employed. An analytical tool namely
‘‘products mapping’’ is made by combining two fundamental variables derived from the FG model.
Revealedsymmetric comparativeadvantage (RSCA) index and trade balance index are applied.
Findings – The paper provides evidence of the existence of FG pattern. Unskilled labor-intensive
industriesand human capital-intensive industrieshave clearly shownthe FG pattern in East Asia.China
has very highcomparative advantagein those industries.
Research limitations/implications – The classification of industries is a crucial issue. This paper
applies the broader classification of industries based on factor intensity rather than end use. Further
researcheson more specific industries might give detailed explanation.
Originality/value – The paperexamines the position of EastAsian countries in the FGmodel.
Keywords Japan, China, Industrial countries, Classification
Paper type Research paper
1. Introduction
A country’s international trade performance changes eventually de pending on its
dynamic comparative advantage. The nature of localized industrial cluster is sometime
considered to have strong relations with the different stages of industrial upgrading
and structural transformation (Aiginger, 1999). Country with rapid catching up
process most probably has also exhibited a rapid structural transformation. There
have been changes in the pattern of comparative advantage of East Asian countries.
Not only differences in the factor endowments but also in the production function
(technology) and the consumption function (taste and preference) create countries’
dynamic comparative advantage.
‘‘Flying geese’’ (FG) pattern is one of the well-recognized models to be strongly
considered in explaining economic development in East Asia. The model was firstly
introduced by Kaname Akamatsu in the 1930s, as an analogous sequential
development or catching up process of manufacturing industries in developing
countries (Kojima, 2000; Ozawa, 2001; Kwan, 2002; Kasahara, 2004). By being
the region’s most advanced country in term of technology and becoming the main
trading partner as well as the source of foreign direct investment (FDI) for the other
The current issue and full text archive of this journal is available at
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The author would like to thank Dr Wihana Kirana Jaya (PSEKP-UGM) for providing access on
UN-COMTRADE, Professor Masumi Hakogi and Professor Toshiyuki Mizoguchi for the fruitful
discussion and two anonymous referees for their valuable comments.
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