In Kicking Away the Ladder: Development Strategy in Historical Perspective, Ha-Joon Chang challenges the dominant neoliberal view of economic development. He argues that the developed nations, now advocating for free markets and minimal government intervention in developing countries, did not follow these policies when they were developing themselves. Instead, they used protectionism, subsidies, and active government policies to nurture their industries. By “kicking away the ladder” of interventionist policies, Chang suggests that developed countries are preventing developing nations from following a similar path to success.

Chang begins by exploring the historical evolution of economic development strategies in now-developed countries. He notes that nations such as the United Kingdom and the United States, often seen as champions of free trade, actually relied heavily on protectionist policies during their early stages of industrialization.

One example he provides is the case of the United States. Contrary to popular belief, the U.S. did not rise to economic power by embracing free trade; rather, it used high tariffs to protect its industries. Alexander Hamilton’s Report on Manufactures (1791) is a pivotal document in which Hamilton advocated for strong government intervention to foster the country’s infant industries. Chang quotes, “The superior industry of the United States can be attributed to wise government policies that nurtured growth, not to the invisible hand of the market.”

Another anecdote involves Britain. Despite being a strong advocate of free trade in the 19th century, Britain used protectionism for much of its earlier history. The Navigation Acts, for example, restricted foreign ships from transporting goods to Britain, effectively bolstering its merchant fleet and domestic economy. Britain only embraced free trade after it had gained a competitive advantage, especially in manufacturing.

In the second section, Chang illustrates how these historical strategies contradict the neoliberal policies that global organizations like the World Bank and IMF promote today. Developing countries are often encouraged—or even pressured—to open up their markets, reduce tariffs, and embrace deregulation. Chang contends that this one-size-fits-all approach ignores the historical realities of how developed nations actually became prosperous.

He uses South Korea as a more modern example. In the 1960s and 1970s, South Korea actively pursued a policy of protecting its nascent industries, subsidizing exports, and guiding economic activity through strong government intervention. Today, South Korea is a leading global economy, and Chang suggests that had it followed the advice of international institutions, it would have remained in poverty. “Without careful intervention, South Korea would have remained a victim of market failures rather than a global economic leader,” he writes.

One of the central themes of Kicking Away the Ladder is the crucial role that government plays in fostering economic development. Chang challenges the neoliberal mantra that the best way to achieve prosperity is through minimizing government intervention. He argues instead that strategic state intervention—through policies like tariffs, subsidies, and state-sponsored research and development—is necessary for developing countries to achieve industrialization.

This theme is reinforced through multiple examples. For instance, Chang highlights Japan’s Ministry of International Trade and Industry (MITI), which was instrumental in coordinating industrial policy, guiding investment, and protecting fledgling industries from foreign competition. These kinds of government policies directly contrast with the advice often given to developing countries, which tends to discourage state involvement in the economy.

Chang’s argument is particularly critical of the concept of “comparative advantage,” a principle that claims nations should specialize in industries where they are naturally most efficient. According to Chang, this idea is misleading because many industries in developing nations may never become competitive without government support, especially in the face of stronger, well-established foreign competition.

In another section, Chang critiques the theoretical underpinnings of neoliberalism and the idea that free markets are the optimal route to development. He argues that such policies are often based on simplistic economic models that ignore the complexities of real-world development. The author points out that the historical development trajectories of nations are far too nuanced to be reduced to a one-size-fits-all economic policy.

One of Chang’s memorable quotes encapsulates this argument: “To expect developing nations to grow under free market conditions is akin to expecting a child to compete in an Olympic race against professional athletes.” This metaphor underscores his critique that neoliberal policies create an uneven playing field for developing nations, whose industries are too weak to compete with established players without protection and guidance.

In the conclusion of Kicking Away the Ladder, Chang provides recommendations for policymakers in developing countries. He advises against adopting free-market policies wholesale, arguing that developing nations must take a pragmatic approach to economic development. According to Chang, countries should employ a range of strategies, including selective protectionism, targeted subsidies, and state-supported infrastructure projects.

One of his most compelling arguments is that the international community should not impose policies on developing countries that prevent them from using the same tools that were critical to the success of today’s developed nations. Chang calls for a rethinking of the global economic order, proposing that instead of restricting government intervention, international organizations should allow developing nations the flexibility to chart their own development paths.

Kicking Away the Ladder has had a profound impact on discussions about economic development. Ha-Joon Chang’s research has reshaped how many economists and policymakers view the role of government in the global economy. His historical perspective is especially relevant in the context of ongoing debates about global trade policies, foreign aid, and the responsibilities of international institutions.

The book’s relevance continues to grow, especially in an era of increased economic inequality between developed and developing nations. Chang’s insights into the deceptive nature of free-market prescriptions for development challenge contemporary policymakers to rethink their approach. As the book’s title suggests, the ladder of development strategies used by successful nations is being kicked away, and it is time to reconsider the fairness and efficacy of the current global economic system.

In conclusion, Kicking Away the Ladder by Ha-Joon Chang serves as a powerful reminder that development is a complex and multifaceted process that cannot be reduced to simplistic, one-size-fits-all solutions. Developing countries must be allowed to use the same tools that helped rich nations succeed in the past if they are to overcome the many challenges they face today.