Economy-of-Japan--S-Korea日本和韩国的经济.pptVIP

Economy of Japan S Korea Japan in general The third largest economy in world 22nd-highest per capita GDP in 2013 Member of G7 (formerly G8) The third largest automobile manufacturing country (after China the US) Manufacturing focus on high-tech and precision goods. As of 2013, 62 of the Fortune Global 500 are based in Japan. Post-war economic miracle Wartime expenses caused inflation and unemployment problems in the mid- to late-1940s. The American government helped a lot in the recovery of Japanese economy (to democratize Japan, prevent reemergence of militarism and forefend communism). Americans paid a large sums for “special procurement” in 1950, which accounted for 27% of Japan’s total export trade. The Japanese government also helped by stimulating private sector growth (first by instituting regulations and protectionism and later by concentrating on trade expansion). “Golden Sixties” PM Hayato Ikeda（池田勇人） lowered interest rates and taxes to private players to motivate spending. Ikeda’s government rapidly expanded government investment in Japan’s infrastructure and communications sectors (the so-called mixed economic model). Also pushed trade liberalization (free trade), but met with resistance. Later moved on after securing a protected market through regulations favored Japanese products and firms. The government set up allied foreign aid distribution agencies to demonstrate Japan’s willingness to participate in the international order and to promote exports. Joined GATT in 1963, the IMF, and the OECD in 1964. GDP rose from $91 billion in 1965 to 1.065 billion in 1980. “The Lost Two Decades” Japanese asset price bubble: poor monetary policy ? appreciation of Yen ? drop of discount rate ? rise of monetary supply ? rise of asset prices ? cozy lending from banks ? poor-quality investments failed ? BOJ raised inter-bank lending rates ? burst of bubbles Japanese financial institutions were full of bad debts, turning them into zombie banks. Firms became unsusta