The remarkable success of the HPAEs proves that

Question

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The success of the HPAEs shows that trade policy can lead to a higher standard of living for developing countries. The HPAEs, despite their limited resource base and small size, managed to achieve rapid economic growth by liberalizing their trade policies and making themselves accessible to the world market. This led to an increased inflow of foreign direct investment, technology transfer, and knowledge spillovers, which helped boost their productivity, output, and exports. As a result, they were able to fuel their economic growth, reduce poverty, and improve their standard of living. Therefore, trade policy is not irrelevant to successful economic growth but can be a key driver of it, especially for developing countries.

The Remarkable Success of the HPAEs Proves That