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This paper compares the economic development in East Asia and CEECs (Central and Eastern European Countries), especially the Western Balkans from perspective of economic history. Korea was colonized by Japan (1910-1945). Although Korea regained its independence after World War II, the country was separated by the Korean War (1950-1953). The country was completely devastated by the Korean War. As of 1960, South Korea was less developed than North Korea. Later, however, South Korea experienced a high economic growth with about 10 years lag behind Japan. South Korea has had a close economic connection with Japan and was able to introduce capital and technology from Japan. South Korea’s high economic growth can be to a considerable extent explained by “Flying Geese Pattern” as well as “Advantage of Backwardness”. It seems that the relation between Japan and East Asia is similar to the relation between Germany [not only Germany but also some other core countries in the European Union (EU)] and post-socialist East European countries. Central European and as well as Romania and Bulgaria (new EU member states of CEECs) attracted capitals and technologies from developed countries including the EU countries and attained rapid economic development. A problem is whether the Western Balkan countries will be able to attain rapid economic development with capitals and technologies absorbed from developed countries as new EU member states have experienced. In this paper, not only common characteristics but also differences in the conditions between East Asian countries and the West Balkan countries will be examined.

Flying Geese Pattern and Central and East European Countries