1. Learning From the Japanese Economic Miracle: What Factors
Lead to Economic Growth?

2. Japan After World War II
Most of Japan’s major cities were severely damaged.
About 3 million Japanese died.
Many industrial factories were severely damaged or destroyed.

3. Japan’s Miracle Economic
Post WWII, Japan soon became an economic power.
No nation, up until the time, had seen their income and production rise faster than Japan between
Why?
What leads to Economic Growth?

4. Note the Economic Growth in Japan from 1950 – 1975.
United States
Japan

5. Link to Gapminder: Click Here.

6. Factors that Lead to Economic Growth and increased productivity
Investment in capital goods, research and technology.
Investment in human capital: education and skills.
Saving and investment
Public policy: free trade and competition

7. INVESTMENT IN CAPITAL GOODS: RESEARCH AND TECHNOLOGY

8. TECHNOLOGICAL PROGRESS
Shinkansen: High Speed Rail Line: 186 mph

9. Investment in Human Capital: Education

10. The Japanese are among the world’s best educated population.

11. Public Policy: Promoting competition, property rights, and free trade.
Toyota
Honda

12. Japan
Today

16. BIBLIOGRAPHY
Murphey, Rhoads. East Asia: A New History (4th Edition). New York: Longman, Mankiw, Greg. Principles of Economics. (4th Edition) USA: Thompson South-Western, 2007.