Japan

japan's economy

• Recovered its productivity after its defeat in 1945
• Benefited from U.S. financial assistance ($2 billion) and investment
• US market did not restrict Japanese imported goods

1952 mutual defense treaty: Japan could not spend more than 1% of its gross national product on protection

japan's economy

• Japan's savings used for economic development 
• Benefited from U.S. purchases of supplies for Korean War

japanese people

japanese economic policy

• low salaries supported an export-driven economy
• large workforce agreed to working conditions and low pay
• Low cost of labor facilitated production of goods
•  Japanese economy went from labor-intensive manufacturing:
• (textiles, iron, steel) to manufacturing focused on capital

Produced radios, TVs, motorcycles, automobiles

With a well trained and educated workforce, businesses used their wealth to create technological products

MEMORY CHIPS, CD-ROM DRIVES

"made in japan"

banks, businesses, and government

japan