Inductive method and development perspective: Alice Amsden on Taiwan and beyond

This article explores how Alice Amsden developed her theories and evaluates her contributions, using the case of her work on Taiwan, where she began her quest for understanding late development. In Taiwan, she first studied its machine tool industry and gradually broadened her scope, including a collaborative work with the author on Taiwan’s upgrading into high-tech. Contrary to the prevalent static deductive method, Amsden used an inductive approach based on studies of country models, which in turn are based on micro-level studies. By adopting this method, along with a development perspective, she was able to induce valuable lessons from latecomer experiences and modify existing theories accordingly. Her works are still relevant today and arguably applicable to contemporary China as well.