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You Are Here: Home > Experts> Zhao Jinping> Working Papers

Duan Bingde

Major characteristics and prospects of Japanese economy

2014-02-27

Zhao Jinping,Research Department of Foreign Economic Relations,the DRC

Research report No 65, 2013

Abstract

After the economic bubble burst in the 1990s, Japan has faced severe deflation, as well as sluggish economic growth and weakened industrial competitiveness. Japan's economic position in the world economy is dropping. Especially in recent years, most people hold pessimistic attitudes on Japan's economic prospects, because of the global financial crisis, tsunami, nuclear crisis and deteriorating relations with China.

In the circumstances, analyzing the advantages and disadvantage of Japan's economy in an objective way and estimating Japan's economic prospects is significant for formulating policies and strategies against Japan and grasping as many development opportunities as possible.

Japan's new government raised its long-term objective of realizing 2 percent?annual economic growth by the year 2020. However, it is facing difficulties in achieving that goal, as currently Japan faces a severe financial deficit and debt burdens, coupled with the continuous appreciation of the Japanese yen, the stress of deflation, a decreasing population and aging problem.

Key words

Japanese economy, characteristics analysis, prospects

 
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