Left-wing organizations, such as the Japan Socialist Party and the Japan Communist Party, quickly reestablished themselves, as did various conservative parties. The first postwar elections were held in women were given the franchise for the first timeand the Liberal Party's vice president, Yoshida Shigerubecame prime minister. For the elections, anti-Yoshida forces left the Liberal Party and joined forces with the Progressive Party to establish the new Democratic Party Minshuto. This divisiveness in conservative ranks gave a plurality to the Japan Socialist Party, which was allowed to form a cabinet, which lasted less than a year.
At the height of its influence, it effectively ran much of Japanese industrial policy, funding research and directing investment Ito,p. Today Japan has the second largest economy in the world and its growth is the envy of most of the world. After the Second World War, Japan underwent a recovery and then experienced a period of extremely high economic growth.
In fact, Japanese economy increased fifty five fold in the post war period from to Johnson,p. Because of the conception that Japan has a bureaucracy that dominates decision making, and the belief that the Ministry of International Trade and Industry MITI actually devised and directed the economic miracle.
Others were skeptical on the almost mythical power of foresight attributed to industrial policy of the MITI Okimoto, Further, some counterarguments will be discussed in this essay.
The main aim japan economy miracle essay writer this government-controlled agency is to protect new industries from foreign competition by using various policies to drive exports. They are and have been able to do this in particular by controlling exchange rates.
The exchange rates were artificially kept low in order to encourage low-priced exports, therefore increasing demand that resulted in high industrial growth Okabe, Facilitating technology imports MITI served as an architect of industrial policy, an arbiter on industrial problems and disputes, and a regulator.
Formulating industrial policies The close relationship between MITI and Japanese industry has led to foreign trade policy in an effort to strengthen domestic manufacturing interests. MITI facilitated the early development of nearly all major industries by providing protection from import competition, technological intelligence, help in licensing foreign technology, access to foreign exchange, and assistance in mergers.
Integrate conflicting policies Furthermore, MITI was responsible not only in the areas of exports and imports but also for all domestic industries and businesses not specifically covered by other ministries in the areas of investment in plant and equipment, pollution control, energy and power, some aspects of foreign economic assistance, and consumer complaints.
This span has allowed MITI to integrate conflicting policies, such as those on pollution control and export competitiveness, to minimize damage to export industries. Discriminatory Tariffs MITI helped Japan achieve a high growth rate by selectively looking for tariffs and other industrial policies to favor particular industries.
Tariff and non-tariff barriers against foreign product, though temporary, ensure a domestic market for producers.
MITI then favors cartels if competition within a particular sector becomes intense, which can be considered helpful in promotion industries to gain a comparative advantage, as the government actively determines which companies within a particular industry in their domestic market are funded by the government and are therefore finally able to compete globally.
This ensures that industrial growth in newly developing industries can increase without external influences and can develop a comparative advantage before having to compete globally e. Industrial policy faces the same knowledge problem as socialist planning: Attempts at industrial planning are likely to hinder development by promoting incorrect industries.
MITI was no exception. Moreover, the notion that industrial policy is primarily responsible for economic success in Japan is disputable.
Steel and oil—two of the many industries that have received financial support from MITI—are largely viewed as a drag on the Japanese economy. MITI actively discouraged Honda from getting into the automobile business and Sony from getting into the consumer electronics business.The post-war Japanese political scene was characterized by a domination of the Liberal Democratic Party (LDP), fights and shoving matches in the Diet (the Japanese parliament), and a debate between left-wingers proud of Japan's pacifist status and right-wingers who wanted Japan to be an economic superpower and regain its military strength.
Let us write or edit the essay on your topic "Economic Miracle in Japan" with a personal 20% discount. An Economic Analysis Of Japan. Print Reference this.
|Japan's Economy||Postwar Japan — here defined as the period between the end of the Allied Occupation of Japan in and the death of the Showa Emperor Hirohito in — was a period of extraordinary change in Japan. Complicating the issue was the question of whether the quality of life in Japan should be compared to others countries, or held to a more perfect, and perhaps unattainable, standard.|
Published: 23rd March, (Japan - Overview of economy, ). Most of them are privately owned firms as Japan is practicing open economic system. If you are the original writer of this essay and no longer wish to have the essay published on the UK Essays website then please click.
Boulder: Westview Press, A concise exposition of the connections between Japan’s economic power and its international responsibilities. Katz, Richard. Japan, the System that Soured: The Rise and Fall of the Japanese Economic Miracle.
Armonk, N.Y.: M. E. Sharpe, A journalist’s careful account of when and how the Japanese miracle faded.
Postwar Japan, Postwar Japan, relatively even distribution of wealth and low crime statistics to suggest that Japan’s “economic miracle” might provide lessons for other developing countries. Trade issues presented a different sort of problem.
As noted above, the United States had initially been worried about. Introduction To The Japanese Economy Economics Essay. Print Reference this. Published Japan's economy is getting well improved beyond the year of s but the ration of inflation yet still illustrates a depression.
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