ABSTRACT
The performance of the East Asian economies over the last thirty years has been truly remarkable-Woronoff’s (1986) term, the ‘miracle economies’, conveys their extraordinary growth record which since the 1960s has surpassed that of any other region. The dynamism of the East Asian economies is clearly of interest to all those concerned with the economic improvement of the Third World, both as an inspiration as to what can be achieved in a relatively short period of time and as a guide to what policies may be most conducive to rapid economic and social development. The ‘Orient Express’ also has important implications for the already industrialized economies, including the UK. It generates rapidly growing export opportunities, but also poses a strong challenge. European industry will be subjected to serious competitive pressure in trying to match the quality and performance of the dynamic, efficient and innovative East Asian firms. The response to this trade challenge and the associated growth of foreign direct investment in Europe by East Asian firms will have a powerful influence on the future evolution of the European economy.
