Author: Hugh Patrick, Columbia University

I was sitting at a desk in my room on the 35^th floor of the New Otani Hotel Tower Building in downtown Tokyo Friday afternoon March 11, when suddenly the building began to shake and sway.

Oh, an earthquake I thought. But it became stronger, and wouldn’t stop, and I couldn’t move. Read more…

Author: Hugh Patrick, Columbia University

Simple analysis of the Japanese economy suggests simple causal relationships. Export success, excess domestic savings, low inflation and anemic growth are frequently linked in the media and commentary. But any review of Japan’s economic performance must be considered in three domestic contexts: the current recovery from its deepest postwar recession; the continuation since 1990 of subpar growth; and the 40 immediate postwar years of extraordinarily rapid,  catch-up growth.

It is a mistake to refer to the recent period  as the ‘two lost decades’. Read more…

Author: Hugh Patrick, Columbia University

Japan’s international economic relations are more important than ever. A major player in the global economic and financial system, Japan is strongly influenced by investment, trade and issues of international economic diplomacy.

Trade is the foundation of Japan’s international economic relations. Imports supply the oil, iron ore and food grains essential to Japan’s industrial production and household consumption. A plunge in Japanese exports was a major cause of the Japanese recession, and Japan’s recovery has been almost entirely due to recovery of rapid export growth. Read more…