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International Economic Growth Japanese PostWar Economic Miracle

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The state, which had lost during the war almost 40 % of its wealth, which has haven’t any raw material sources, was completely cut off the exterior raw market. It has been destroyed about 30 % of basic industry equipment. After numerous bombing, Nagasaki and Hiroshima have been almost purely ruinous. The capital of the country, Tokyo, has stayed in ruin. There has been demobilized about 9 million soldiers, moreover, 1.5 million people have entered the country as refugees. Inflation has reached 5000 %. There has been an overall shortage of goods and materials. There has been a great dearth. The value of the yen to the dollar has been constantly falling down that has evidenced that the financial system of the state has been completely unsettled. Notwithstanding Japanese people have felt release with the end and war. The society has been full of optimistic expectations. Everybody has been equally poor, and everybody has had the same chances. They have started everything from the very beginning.The great role of Japan’s economic development has been played by the Ministry of International Trade and Industry (MITI). It seems like no other governmental regulation or organization had a more economic impact than this ministry. The particular speed, form, and consequences of Japanese economic growth are not intelligible without reference to the contributions of MITI (Johnson, 1982). The main achievement of the Japanese government at that time has been efficient cooperation between the Japanese government and private industry.The other scholar, David R. Henderson, considers that MITI plans for industry growth, and sometimes gets other agencies to use their powers to carry out the plans, the extent of MITIs control, and of government control generally, has been greatly exaggerated. It should be mentioned that in the period 1955 -1973, Japan government has had six different National Economic Plans.