{
  "title": "Japan's Restrictive System of Trade and Payments: Operation, Effectiveness, and Liberalization, 1950-1964",
  "publication": "IMF Working Papers, September 1, 1997",
  "sourceUrl": "https://www.imf.org/en/publications/wp/issues/2016/12/30/japan-s-restrictive-system-of-trade-and-payments-operation-effectiveness-and-liberalization-2328",
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  "summary": "The paper summarizes how Japan’s foreign exchange and trade control system operated in the early 1950s, how and how effectively it was used as a tool of external adjustment, and how it was liberalized from the late 1950s into the early 1960s.",
  "sections": [
    {
      "heading": "Summary findings",
      "content": "- The paper summarizes how Japan’s foreign exchange and trade control system operated in the early 1950s, how and how effectively it was used as a tool of external adjustment, and how it was liberalized from the late 1950s into the early 1960s.\n- Although the Japanese government was extensively involved in allocating scarce foreign exchange in the early 1950s, the control system became increasingly flexible over this period.\n- A preliminary analysis based on the behavior of wholesale prices seems to indicate that, along with its liberalization, the restrictive system became less effective as a tool of external adjustment, while the impact of deflationary macroeconomic measures became more dominant."
    },
    {
      "heading": "Operation of the foreign exchange and trade control system",
      "content": "- Government extensively involved in allocating scarce foreign exchange in the early 1950s.\n- The system included mechanisms and procedures related to allocation, approval, and budgeting (keywords in the source: allocation procedure, approval system, budget system)."
    },
    {
      "heading": "Liberalization, timing, and evolution",
      "content": "- Liberalization occurred from the late 1950s into the early 1960s.\n- Over this period, the control system became increasingly flexible."
    },
    {
      "heading": "Effectiveness as an external adjustment tool",
      "content": "- Preliminary analysis uses the behavior of wholesale prices as an indicator.\n- Findings indicate that:\n  - As liberalization proceeded, the restrictive system became less effective as a tool of external adjustment.\n  - Deflationary macroeconomic measures had an increasingly dominant impact."
    },
    {
      "heading": "Subject areas and keywords (as provided)",
      "content": "- Subject: Currencies, Exchange restrictions, Exports, Foreign exchange, Imports, International trade, Money\n- Keywords: allocation procedure, approval system, budget system, Currencies, dollar area, exchange controls, exchange restrictions, Exports, financing facilities, foreign exchange bank, Global, guarantee money, import control, import guarantee money, import liberalization ratio, Imports, Japan’s exchange rate system, liberalization ratio, method of payment, pound sterling, quota system, sterling area, usance bill, WP\n\n---\n\n Content in this bundle\n\n- wp97111\n  - wp97111 (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - wp97111 (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2016/12/30/japan-s-restrictive-system-of-trade-and-payments-operation-effectiveness-and-liberalization-2328"
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    "Authors: Shinji Takagi",
    "Published: September 1, 1997",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9781451853438.001",
    "The paper summarizes how Japan’s foreign exchange and trade control system operated in the early 1950s, how and how effectively it was used as a tool of external adjustment, and how it was liberalized from the late 1950s into the early 1960s.",
    "Although the Japanese government was extensively involved in allocating scarce foreign exchange in the early 1950s, the control system became increasingly flexible over this period.",
    "A preliminary analysis based on the behavior of wholesale prices seems to indicate that, along with its liberalization, the restrictive system became less effective as a tool of external adjustment, while the impact of deflationary macroeconomic measures became more dominant.",
    "Government extensively involved in allocating scarce foreign exchange in the early 1950s.",
    "The system included mechanisms and procedures related to allocation, approval, and budgeting (keywords in the source: allocation procedure, approval system, budget system).",
    "Liberalization occurred from the late 1950s into the early 1960s.",
    "Over this period, the control system became increasingly flexible.",
    "Preliminary analysis uses the behavior of wholesale prices as an indicator.",
    "Findings indicate that:",
    "Subject: Currencies, Exchange restrictions, Exports, Foreign exchange, Imports, International trade, Money",
    "Keywords: allocation procedure, approval system, budget system, Currencies, dollar area, exchange controls, exchange restrictions, Exports, financing facilities, foreign exchange bank, Global, guarantee money, import control, import guarantee money, import liberalization ratio, Imports, Japan’s exchange rate system, liberalization ratio, method of payment, pound sterling, quota system, sterling area, usance bill, WP",
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