Japan - the lasting effects of the Asian crisis

Abstract

In the 1980’s Japan was the second largest economy in the world that was experiencing growth and gains in assets that were greater than that of the U.S. However the recession that occurred in the late 1980s, along with the large impact felt by the Asian Crisis, Japan currently remains financially unstable. Monetary and fiscal policies that have been used to combat the problem remain unsuccessful as the economy continues to stagnate. Could this be due to inadequate policy, or is something else causing the economy to lag in the worlds longest recession? This thesis covers and explores the different factors that have effected this economy from a governmental, monetary, economic, and sociological standpoint in an effort to explain why Japan’s economy has still not recovered.