Japan out of the Lost Decade: Divine Wind or Firms’ Effort?

 
Author/Editor: Ogawa, Kazuo ; Saito, Mika ; Tokutsu, Ichiro
 
Publication Date: July 01, 2012
 
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Summary: A surge of exports in the 2000s helped Japan exit the severe decade-long stagnation known as the lost decade. Using panel data of Japanese exporting firms, we examine the sources of the export surge during this period. One view argues that the so-called "divine wind" or exogenous external demand boosted Japanese exports. The other view emphasizes the role of supply factors such as productivity gains, materialized after long-fought restructuring efforts during the lost decade. Estimating the firm-level export function allows us to assess the relative importance of these demand and supply factors. Evidence shows that firms' efforts were more important than the divine wind.
 
Series: Working Paper No. 12/171
Subject(s): Economic models | Export growth | Export performance | Manufacturing | Productivity | Statistical annexes | Japan

Author's Keyword(s): Lost Decade | Export | Total Factor Productivity | Price-Cost Margin
 
English
Publication Date: July 01, 2012
Format: Paper
Stock No: WPIEA2012171 Pages: 39
Price:
US$18.00 (Academic Rate:
US$18.00 )
 
 
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