Leontief's main analytical contributions lie in the formulation of inductive theory, which begins with the facts, then rises to the more general, and finally returns to the facts. Such theorizing is increasingly warranted in the field of economic development because countries remaining poor now look for insights into how to trigger growth in successful late-industrializing country experience rather than in abstract models. This paper attempts to outline an inductive approach to understanding the government's role in East Asia's economic transformation.