Abstract
Prime Minister Nakasone’s blue-ribbon Economic Council recommended that Japan’s record 1985 current account/GNP ratio of 3.7 percent, and the expected more than 4 percent 1986 ratio be reduced to around 1.5 to 2 percent by FY 1992. While this can partially be achieved through the implementation of the domestic policy options to increase demand, and thus imports, other measures such as increased foreign direct investment and foreign aid are also needed. To illustrate the point, the elimination of the 1986 current account surplus of $86 billion alone would have required a 33 percent domestic economic growth rate.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Preview
Unable to display preview. Download preview PDF.
Notes
If nondirect or portfolio investments are also included, the total increases to $50–60 billion annually.
The Japan Times(March 26, 1986), p. 9.
The Japan Economic Journal(June 7, 1986), p. 1.
Shoichi Akazawa, Chairman of the Japanese External Trade Organization ( JETRO ); Tokyo, March 1986.
The Japan Times(October 14, 1986), p. 5.
Internal documents, Economic Planning Agency ( Tokyo: May 1986 ). The primary sector includes agriculture, forestry, and fisheries; the secondary sector is manufacturing, mining, and construction, while the tertiary sector is comprised of the service industries, government, and utilities.
Ministry of Finance sources (Tokyo, March 1986).
For a list of these projects, see appendix G.
The Japan Economic Journal (October 25, 1986), p. 13; also, Business Week (July 14, 1986), pp. 53–54.
The Japan Economic Journal (July 5, 1986), p. 13.
Problems Experienced by Japanese Companies Investing in the EC: Keidanren Survey,“ Keidanren Review (February 1986), pp. 8–11. These findings were confirmed by a JETRO survey. See Japanese Manufacturing Companies Operating in Europe ( Tokyo: Japan External Trade Organization, 1986 ).
In addition to Japan, the region includes the NICs of Southeast Asia (Hong Kong, Taiwan, Korea and Singapore, also known as the “four tigers”), as well as Indonesia, Malaysia, the Philippines, Thailand and the People’s Republic of China. The former four together with Singapore and Brunei are members of the Association of Southeast Asian Nations (ASEAN).
Japan: An International Comparison (Tokyo: Keizai Koho Center, 1985 and 1986 issues, respectively) pp. 57, 57; and Japan and the World in Statistics: /986 ( Tokyo: The Tokyo Chamber of Commerce and Industry, 1986 ), pp. 88–89.
The Japan Times(March 12, 1986), p. 3.
Saburo Okita, “Japan is Advised to Diversify Investments to Aid Developing Nations’ Economic Growth,” The Japan Economic Journal (August 30, 1986 ), p. 7.
William L. Brooks and Robert M. Orr, Jr., “Japan’s Foreign Economic Assistance,” Asian Survey (March 1985), pp. 322–340.
Ministry of Foreign Affairs (Tokyo, March 1986).
See, among others, “Needed: More Active Economic Cooperation” (Tokyo: Keizai Koho Center, June 28, 1986). This Keidanren statement was submitted to Prime Minister Nakasone in April 1985.
The Daily Yomiuri(March 28, 1986), p. 5.
For a discussion of the issues surrounding the new round of talks, see C. Michael Aho and Jonathan Davis Aronson. Trade Talks: America Better Listen ( New York: Council on Foreign Relations, 1986 ).
C. Michael Aho and Jonathan D. Aronsone, Trade Talks, op.cit.,p. 25.
Author information
Authors and Affiliations
Rights and permissions
Copyright information
© 1987 Springer Science+Business Media New York
About this chapter
Cite this chapter
Higashi, C., Lauter, G.P. (1987). The International Policy Options. In: The Internationalization of the Japanese Economy. Springer, Dordrecht. https://doi.org/10.1007/978-94-015-7750-2_7
Download citation
DOI: https://doi.org/10.1007/978-94-015-7750-2_7
Publisher Name: Springer, Dordrecht
Print ISBN: 978-94-015-7752-6
Online ISBN: 978-94-015-7750-2
eBook Packages: Springer Book Archive