Asia’s human capital and the middle-income trap
Peter Drysdale – Two things clearly play an important role: failure to invest in the human capital that is necessary to take income to a higher level; and failure to reform institutions and governance so that they support an adaptive and creative economy and society. Where reforms stall and the structure and growth of human capital is inadequate, there is a risk that Asia’s emerging economies, even China, might fall into the ‘middle-income trap’.
[Full post at East Asia Forum]
Reading Development 