Influence of industrialization on economic growth in the asian tigers and lessons for India

Title

Influence of industrialization on economic growth in the asian tigers and lessons for India

Creator

Shah, Aditya Sameer; Saigal, Taru

Description

Economic growth over the past two centuries has been driven mainly by the process of industrialization. Mechanized manufacturing, factories, and technological advancements have contributed largely to economic development. A prime example of such countries is the Asian Tigers- Hong Kong, Singapore, Taiwan, and South Korea, and the Tiger Cubs- Indonesia, Thailand, Malaysia, Philippines, and Vietnam that have achieved rapid industrialization through export-led strategies, technological innovation, and strong policies fostering economic development. India gained its independence around the same time as the Tiger, though the pursuit of industrialization hasnt been as pronounced in India as it has been in the Tigers. This study examines the impact of industrialization, proxied with industrial efficiency, on the GDP per capita of the tiger economies and India. Along with other control variables like FDI inflows, inflation, market capitalization, manufacturing exports, ICT imports, and CO2 emissions. Using data from 1991 to 2022, Using data from 1991 to 2022, a 2SLS model is applied to the Tiger economies using the instrument, control of corruption. A time series Autoregressive Distributed Lag model is used for India. The findings of this paper confirm that industrialization was the primary driver of the economic success of the Asian Tigers, while showing weaker progress in India. Building efficient infrastructure facilities, strengthening human capital formation and export-led manufacturing could allow India to emulate the strategy of the Asian Tigers. The Author(s), under exclusive licence to Springer Nature Switzerland AG 2026.

Source

SN Business and Economics;Volume;6;Issue;4;Article No.;100;

Date

01-01-2026

Publisher

Springer Nature

Subject

and India; Asian tigers; Economic growth; Industrial efficiency; Industrialization; O140; O250; O470; O530

Coverage

Shah A.S., Department of Economics, Christ University, Bengaluru, 560076, India; Saigal T., Department of Economics, Christ University, Bengaluru, 560076, India

Rights

Restricted Access; Hardcopy may be available in the library

Relation

ISSN: 26629399;

Format

online

Language

English

Type

Article

Identifier

https://doi.org/10.1007/s43546-026-01095-8

https://www.scopus.com/pages/publications/105033638648?origin=resultslist