Japans Miracle Economy Free Essay Example, 2250 words

Therefore, the Japanese imports were welcomed on the basis of economics and politics. Thus, the US government focused its postwar policies for at least three decades mainly on the military and strategic facets of bilateral relationship, and almost unconditionally allowed the penetration of Japanese markets to US products3. The US established bilateral ties with every aspect of Japan’s political economy, including security and, thus making it a unique relationship, unlike those multilateral and interwoven relationships that US established with other democracies. The US governmental policies was originally intended to rapidly disintegrate the monopolies perceived to have close connection with the Japanese war machine as well as their undergirding prewar expansionism. The Americans acted in harmony with the pervasive New Deal Sentiments, a punitive policy meant to punish economic hegemonies, and instead seek â€Å"economic democracy† over economic growth. No doubt many Am erican corporations were apathetic to the breakup of many Japanese corporations, including the rapid dismantling of the zaibatsu, such that it was relegated to operating status. Nonetheless, in 1946, the US reversed its policy upon the defeat of the almost all prewar party elites by a new wave of political leaders. We will write a custom essay sample on Japan's Miracle Economy or any topic specifically for you Only $17.96 $11.86/pageorder now Thus, Americans role in empowering the political left led to the dramatic shakeup of the socioeconomic composition of political leadership of Japan4. Studies by Stockwin (cited in Christensen, 2009) examined the main aspects of LDP rule in Japan. These aspects include rates of savings, investment trends, government support, greater workforce productivity, and global environment favorable to free trade. Vogel in 1979 (cited in Christensen, 2009) underpinned Stockwin’s research even though his study was much more comprehensive. Vogel not only attributed Japan’s economic success to economic performance, but also to safety of Japanese cities, good schools, a comparatively egalitarian wealth distribution, and favorable labor relations. According to Johnson (1982, cited in Christensen, 2009), bureaucracy contributed significantly to the Japanese economic miracle. The Ministry of International Trade and Industry (MITI) of Japan employed bureaucratic and egalitarian policies that orchestrated rapid economic growth5. Gao (2009) attributed Japan’s economic dip of the 1990s to lack of coordination, lack of plan, and competition in the Japanese production. Outmoded facilities and equipment may have eroded the capital gains.