Lesson Notes By Weeks and Term - Senior Secondary 3

Term: 1^st Term

Week: 1

Class: Senior Secondary School 3

Age: 17 years

Duration: 40 minutes of 2 periods each

Date:       

Subject:      Economics

Topic:-       Lesson from the Asian tigers

SPECIFIC OBJECTIVES: At the end of the lesson, pupils should be able to

1. Narrate a brief history of the Asian tigers and Japan
2. State the development strategies employed by the Asian Tiger
3. Discuss some of the lessons for the Nigerian economy

INSTRUCTIONAL TECHNIQUES: Identification, explanation, questions and answers, demonstration, videos from source

INSTRUCTIONAL MATERIALS: Videos, loud speaker, textbook, pictures

INSTRUCTIONAL PROCEDURES

PERIOD 1-2

NOTE

ECONOMIC HISTORY OF THE ASIAN TIGERS AND JAPAN (1960-2000)

The four Asian Tigers – Hong Kong, Singapore, South Korea and Taiwan consistently maintained high levels of economic growth since the 1960s, fueled by exports and rapid industrialization, which enabled these economies to join the ranks of the world’s richest nations.

Hong Kong and Singapore are among the biggest financial centers worldwide, while South Korea and Taiwan are important hubs of global manufacturing in automobile/electronic components and information technology, respectively.

Common Characteristics of the Four Asian Tigers

Common characteristics of the four Asian Tigers include the following:

1. They focus on exports,
2. They have educated populace
3. They have high savings rates

FACTORS THAT ACCOUNT FOR THE RAPID DEVELOPMENT OF TIGER ECONOMIES

1. High public and private saving rates:Savings were high in both the public and the private sectors. The incentive to safe was very high and this enabled capital to be accumulated for massive investments in the high income generating sectors.
2. High life expectancy:This is made possible by adequate care of the people by government and this leads to high productivity.
3. Highly developed capital and money markets: They pursued stringent credit policies and state-imposed below-market interest rates for loans to specific export-led industries.
4. High level of information technology development:Their highly developed and breakthrough in information technology boost their external trade and increased foreign exchange earnings which are used for further investment.
5. Purposeful, honest and articulate leadership:Their leaders were in their office to serve the interest of people and ensure that people enjoyed the good things of life.
6. Export-based industrial policies:They effectively pursue industrial policies which supported massive exports to the rich industrialized nations of Europe and America.
7. Heavy government investment in education and human capital development:This helped them to develop highly skilled manpower required to turn the economy around within a very short time.
8. Quality and standardization:Emphasis was placed on production of high quality standardized goods that would compete at the global level. Experts on Standardization and quality assurance were brought in from Japan, US and UK.
9. Culture and Religious beliefs:- The religious beliefs of Singapore, hard work, innovativeness coupled with their culture of openness and harsh punishments for criminal offences led to a corruption free economy.
10. Outward oriented strategies/policies: – Their more rapid growth can be associated with much greater openness. This was achieved by removing all restrictions on imports and giving freedom to the export sector.
11. Slow growth rates of population:- This played a great role in reducing family sizes (dependency ratios), creation of an educated labour force, accumulation of household and government savings, rise in wages and impressive growth of investments in manufacturing technology
12. Effective and stringent public policies:. This consisted of credible macro-economic policies that kept inflation low, interest rates low, fiscal policies that focused on raising saving rates and investment rates, as well as policies that enhanced the development of infrastructure.
13. Knowledge-driven economy– The Asian Tiger governments committed to improving research and development.  The industries became knowledge driven industries and e.g. in Singapore gradually 2 out of 3 jobs were for knowledgeable and skilled workers in manufacturing sector and 3 out of 4 of the export services sector.

Lessons for the Nigerian Economy

1. Focus on exports: Whereas other developing countries use import substitution strategies for economic development, the Asian tigers focused on export-oriented industrial development to richer countries. Domestic production was discouraged through government policies such as high tariffs also trading the surplus with the richer countries.
2. Human capital development: They developed specialized skills for their personnel in order to improve productivity through raising their educational standards.
3. They had an abundance of cheap labour. This is highly needed for economic development.
4. Existence of an adequately developed financial system: An adequately developed capital market would ensure adequate mobilization of capital for industrial and economic development.
5. Maintaining social and political stability together with a stable macroeconomic environment,
6. High tariffs on imports in the early days to discourage import and encourage export.
7. Leadership that is interested in the welfare of the citizens would motivate labour to work hard, thereby raising the level of productivity.
8. High saving rate will increase the rate of capital formation. This should be done by private institutions and government instead of spending prestigious non-productive project.
9. Development of export industries and promotion of certain basic industries that produce competitive goods for the world market.

EVALUATION:    1. List the countries that constitute the Asian Tigers.

2. Describe briefly the Economic History of the Asian Tigers
3. What are the lessons Nigeria will need to learn from the           Asian Tiger’s Economy?
4. What strategies were employed by the Asian Tiger?

CLASSWORK: As in evaluation

CONCLUSION: The teacher commends the students positively