Question

What lessons, if any, were learned/adopted by others in Asia to copy Japan’s success from the "export" model of growth?

Answer 1

After the world war, II Japan was completely divested and destroyed. The growth in Japan was due to American investment and government regulation after the World War II. The amount of land available for agriculture is very less. Japan being an eighth highly populated country in the world has to import food grain from another country, Japan lacks many raw materials. Such as oil, coal, iron ore, copper, aluminum, and wood that are required for the industry. Food grains and industrial raw materials were imported, In order to import these products; Japan has the export of a variety of manufactured goods to other countries to fill the gap of Foreign exchange. to meet these need trade was the only way.

Post World War II Japanese aristocrats were stripped of their wealth, land and status according to the agreement. After securing energy in the year 1950 their aim shifted to improving industries and trade and their growth shifted to export capabilities. Japanese are very hard working.

A recovery plan had started with the help of the US that had put the restriction on imports loans were provided for trade. And the Japanese were encouraged personal savings. with these steps, there were an inflow of funds with the banks to provide loans, With the US support Japan 's economic condition improved and it emerged as an economic superpower.

With Washington's support, Japanese businessman and manufacturers started getting technical knowledge from American factories, Japanese are talented in making goods, with this knowledge the Japanese finished products were exported to the other countries. Under the able government laid by the prime ministers, Japan was revived.

Japanese had built a huge trade surplus that made Yen very strong, by 1980. The best lesson is learned by South Korea, Taiwan, Hong Kong, and Singapore. In 1960 South Korea was one of the poorest countries in Asia. Working on the same line as Japan, South Korea transformed itself from a poverty-stricken nation into an economic powerhouse. The US played a significant role in bringing up Korea.

Investment by Japan has played a significant role in transforming Asian countries, and transforming Southeast Asia, into a manufacturing export base for the world. Many Asian countries are adopting Japanese industrial policy by increasing export. Japanese labor was very cheap after the world war II. but now they are highly paid skilled workers.  South Korea, Taiwan, Singapore, and Hong Kong. had successfully adapted the export policy of Japan.

The lesson learned is the effect of devastation after the war If Washington had not supported Japan would have never become an economic superpower. War does not do any good it brings devastation.