COMMENTS ON MITSUO SAITO AND ICHIRO TOKUTSU'S “TECHNOLOGICAL TRENDS IN THE PACIFIC BASIN”

Mr. Chairman, distinguished guests, ladies and gentlemen:

It is a great honor and pleasure for me to be invited to discuss the paper by Professors Saito and Tokutsu. First of all, I must say that I enjoyed reading the paper very much. This paper is at least the authors' third study that applies a four-factor production function to estimate the technical change rate and the rate of factor substitution among the economies of both developed and developing countries. This time Taiwan was added to their studies. It is certainly a worthwhile attempt, which deserves our attention and appreciation. I would now like to make some general comments, then raise some suggestions and questions…