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The purpose of this paper is to investigate the sources of economic growth in Japan and in compare the results with those in the U. S. and Europe as studied by E. F. Denison. The method used by Denison is followed as far as possible. The character of this paper is of fact finding, and the interpretation of results or the originality of methodology is not dealt with here. The results may be summarized as follows. (1) Japan's growth rate is two times that of Europe and three times that of the United States. (2) The contributions of labor, capital, and the residual to economic growth are all higher for Japan than for the U. S. or Europe. (3) Factors which account for the higher contribution of labor to economic growth are (a) the higher rate of increase in employment, (b) less shortening of working hours, and (c) improved age and sex composition. (4) Factors which account for the higher contribution of capital to economic growth are a higher rate of increase in capital input and the high elasticity of production with respect in capital. (5) Other notable points include: (a) the contribution of education is lower for Japan; (b) the capital-labor ratio in Japan increased remarkably; (c) capital's share of national income is higher; and (d) 60% of Japan's economic growth is accounted for by the residual. [ABSTRACT FROM AUTHOR]

Considerable attention has been devoted in the past to the methodological issues involved in the measurement and explanation of economic growth. Following the method pioneered by Denison and applied by him to the United States and Western Europe, comparative studies have been made of various other countries; that for Japan is of special interest. The present paper extends the analysis to the Soviet Union. In order to preserve comparability, the analysis follows the Denison methodology exactly, and compares the results with those for the United States, Northwest Europe, and Japan. [ABSTRACT FROM AUTHOR]