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Two-polar growth strategy in Myanmar : seeking "high" and "balanced" development

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  • Kudo, Toshihiro
  • Kumagai, Satoru

Abstract

The Thein Sein government of Myanmar seeks higher and balanced economic growth. This is a challenge for the government since some economic literature identifies a trade-off between higher economic growth and better regional equality, especially for countries in the early stages of development. In this paper, we propose a two-polar growth strategy as one that includes both "high" and "balanced" growth. The first growth pole is Yangon, and the second is Mandalay. Nay Pyi Taw, the national capital, will develop as an administrative centre, not as an economic or commercial one. We also propose border development with enhanced connectivity with richer neighboring countries as a complementary strategy to the two growth poles. Effects of the two-polar growth strategy with border development are tested using a Geographical Simulation Model (GSM).

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File URL: http://ir.ide.go.jp/dspace/bitstream/2344/1255/1/ARRIDE_Discussion_No.371_kudo.pdf
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Bibliographic Info

Paper provided by Institute of Developing Economies, Japan External Trade Organization(JETRO) in its series IDE Discussion Papers with number 371.

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Date of creation: Nov 2012
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Publication status: Published in IDE Discussion Paper. No. 371. 2012.11
Handle: RePEc:jet:dpaper:dpaper371

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Related research

Keywords: Myanmar; Economic policy; Economic growth; Economic geography; Yangon; Mandalay; Agglomeration; Regional inequality; Border development; Population; Poverty alleviation; Connectivity; Myanmar (Burma);

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References

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  1. Kumagai, Satoru & Hayakawa, Kazunobu & Isono, Ikumo & Keola, Souknilanh & Tsubota, Kenmei, 2013. "Geographical simulation analysis for logistics enhancement in Asia," Economic Modelling, Elsevier, vol. 34(C), pages 145-153.
  2. Toshihiro KUDO, 2009. "Border Area Development in the GMS: Turning the Periphery into the Center of Growth," Working Papers d018, Economic Research Institute for ASEAN and East Asia (ERIA).
  3. Henderson, Vernon, 2003. " The Urbanization Process and Economic Growth: The So-What Question," Journal of Economic Growth, Springer, vol. 8(1), pages 47-71, March.
  4. Brülhart, Marius & Sbergami, Federica, 2009. "Agglomeration and growth: Cross-country evidence," Journal of Urban Economics, Elsevier, vol. 65(1), pages 48-63, January.
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Cited by:
  1. Kudo, Toshihiro & Kumagai, Satoru & Umezaki, So, 2013. "Five growth strategies for Myanmar : re-engagement with the global economy," IDE Discussion Papers 427, Institute of Developing Economies, Japan External Trade Organization(JETRO).

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