Global Competitiveness and Cultures

Thomas Friedman's columns are frequently compelling. His column today, "Time to Reboot America" http://www.nytimes.com/2008/12/24/opinion/24friedman.html?_r=1 represents my views completely.

On the train from New York to Boston last Friday, I sat next to a man from Korea who ran a global logistics company. He had moved to Shanghai ten years ago to run his company from the global financial and competitive capital. He said many fascinating things, but the ones that I remembered most clearly were those about culture, competitiveness, and corruption. He said that Confucian based cultures including those of China, Korea, Japan, and other east Asian countries, respected parents, age, hierarchy, and education. Although we generally know this background, I was unaware of the point that he made next. Because Confucian based cultures defer to age and rank, there is no absolute right and wrong. Judeo-Christian based cultures define right and wrong irrespective of age and hierarchy. This Korean suggested that Confucian concepts were best for "developing" economies where a degree of order is necessary. But for "developed" economies, individual freedom and "meritocracy" were most appropriate for innovation. Korea, China, and other Asian countries have grown economically at a higher rate for the last 25 years. But they will not necessarily continue to grow at a faster rate than the US without encouraging individual freedom and innovation.