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Import liberalization is one of the most actively debated issues in trade policy. This paper examines how trade policy preferences are related to individual characteristics based on a survey in Japan. Among 10,000 surveyed individuals, people working in non-agricultural sectors, those working in managerial occupations, or those above retirement age tend to favor freer imports. This paper also finds that people who are influenced by the status quo bias are likely to oppose import liberalization even after controlling for each individual's various characteristics, suggesting that neither income compensation nor insurance schemes are sufficient for expanding support for free trade. [ABSTRACT FROM AUTHOR]

This paper presents the development of a large-scale (e.g. several thousand km2) high-resolution (e.g. 250 m) distributed rainfall-runoff/flood inundation simulation ( DRR/ FI) model and an economic loss estimation model considering the confidence interval within what is called the Kyoto, Kobe University- SJNK ( KKU-SJNK) model. The DRR/ FI model can simulate rainfall-runoff, dike-breaks, and inland flood inundation processes simultaneously in a seamless/integrated manner with practical accuracy. The river network for the modelling includes most of the catchment main and tributary rivers; thus, DRR/ FI can simulate all of the discharge/water levels of the rivers in the catchment. Data processing was carried out with ArcGIS, which handles large data sets as one sees them with a graphical interface. The coordinate system of the model is appropriately set up; thus, the model can interact with other models such as weather, climate, evacuation, vulnerability and financial models. This also makes it possible to use extensive GIS data from all over the world. Moreover a vulnerability model, what we call the KKU- SJNK model, was developed. The KKU- SJNK model yields the damage ratios and thus economic loss of buildings due to flooding considering the confidence interval. The models are applied to the Yodogawa River catchment (8240 km2), the 7th largest river catchment in Japan, which crosses six prefectures. Though the catchment size is not necessarily very large compared with continental rivers, there is seldom seen such a detailed high-resolution large-scale runoff-inundation model in Japan. To validate the model, data from 1997 and 2009 floods in the Yodogawa River catchment was used. The results of the model exhibited the potential effectiveness of the DRR/ FI + KKU- SJNK model for risk management toward property loss insurance, though it also identified some difficulties. The paper presents these results. [ABSTRACT FROM AUTHOR]

Japan is known to have an exceptionally low level of inward foreign direct investment (FDI). The promotion of inward FDI is one of the policy goals of Abenomics structural reforms. This present paper studies the accumulation of Japan's inward FDI stock during the first 3 years of Abenomics (2012-2015), and finds no evidence that Japan's inward FDI stock increased more than the trend before Abenomics started would have predicted. A comparison of the main policies for promoting inward FDI that have been implemented to the real and perceived impediments to inward FDI reveals that it may be advisable to shift the emphasis of the policy to address more regulatory and administrative issues and to reduce the cost of doing business in Japan. [ABSTRACT FROM AUTHOR]

ABSTRACT This paper uses firm-level data to examine how supply chain networks affected the recovery of firms from the Great East Japan Earthquake. Extensive supply chains can negatively affect recovery through higher vulnerability to network disruption and positively through support from trading partners, easier search for new partners, and general benefits of agglomeration. Our results indicate that networks with firms outside of the impacted area contributed to the earlier resumption of production, whereas networks within the region contributed to sales recovery in the medium term. The results suggest that the positive effects of supply chains typically exceed the negative effects. [ABSTRACT FROM AUTHOR]

Abstract: This paper provides novel evidence on the effect of deregulating overtime hours restrictions on women by using the 1985 Amendments to the Labour Standards Act (LSA) in Japan as a natural experiment. The original LSA of 1947 prohibited women from working overtime exceeding two hours a day; six hours a week; and 150 hours a year. The 1985 Amendments exempted a variety of occupations and industries from such an overtime restriction on women. Applying a difference‐in‐difference model to census data, we find causal evidence pointing to the positive effect of this particular piece of labour market deregulation on the proportion of female employment. We then carry out a series of sensitivity analyses to ensure the robustness of our finding. Especially, we conduct a falsification test and an event study to show that our causal inference is not threatened by the differential pretreatment trends. Finally, we use quantile regressions and find that for jobs with more rapidly growing proportion of female employment, the effect of the exemption from the overtime work restriction on women is larger. [ABSTRACT FROM AUTHOR]

The present paper estimates the effect of the Abe Cabinet's Womanomics policies that aimed to increase female labor supply and keep women on a career path. The policies are surveyed, and the effects are estimated using microdata from the Labor Force Survey combined with data at the prefectural level on day care provision. A difference-in-difference (DD) method is applied to uncover the impacts of the Abe Cabinet's policies. The rapid increase in the provision of infant care, especially in the urban area, has contributed to a strong increase in the labor participation of mothers with young children. In addition, DD method estimates show a strong increase in mothers with infants staying in permanent-contract regular employment. A significant shortening of work hours of workers, especially of parents with infants, is observed, which enabled working mothers to maintain their employment status. A change in the gender wage gap in the Japanese labor market is observed, but much progress is still required to close the large wage gap. [ABSTRACT FROM AUTHOR]

This paper compares recovery in the wake of three recent earthquakes: the Great East Japan Earthquake in March 2011; the Van earthquake in Turkey in October 2011; and the Maule earthquake in Chile in February 2010. The authors visited all three locations approximately 12-18 months after the incidents and interviewed earthquake specialists, disaster managers, urban planners, and local authorities. A key challenge to post-disaster recovery planning is balancing speed and deliberation. While affected communities must rebuild as quickly as possible, they must also seek to maximise the opportunities for improvement that disasters provide. The three case studies bring this dilemma into stark relief, as recovery was respectively slow, fast, and just right in the aftermath of the events: the Government of Japan adopted a deliberate approach to recovery and reconstruction; speed was of the essence in Turkey; and an effective balance between speed and deliberation was achieved in Chile. [ABSTRACT FROM AUTHOR]

The labor force in Japan is projected to fall from 64 million in 2014 to 20 million in 2100, signaling unprecedented tax/transfer adjustments to achieve fiscal sustainability. In this paper, we develop a quantitative overlapping generations model to measure the impact of guest worker programs in Japan. Against a baseline general equilibrium transition in which the consumption tax adjusts to achieve fiscal sustainability, we compute alternative transitions with guest worker programs. Depending on the size and skill distribution of guest workers, these programs may mitigate Japan's fiscal imbalance problem with a relatively manageable increase in the consumption tax. ( JEL E2, E6, H5, J11, J15) [ABSTRACT FROM AUTHOR]

The author comments on a paper by Makoto Kubo on Japan's long-term care insurance (LTCI) scheme. She finds the 2012 report of the Productivity Commission Inquiry into Caring for Older Australians unable to evaluate different policies and programs in the national contexts which is critical in comparing Japan and Australia. She confirms that the forces underlying availability of skilled workers are complex and time and place specific. She hopes for renewed interest in comparative research.

Using a panel vector autoregression approach and industry breakdown data for financial constraints obtained from the Bank of Japan's Tankan (Short‐Term Economic Survey of Enterprises in Japan) database, this study empirically investigates whether and how Japanese firms' financial constraints (internal and external) influence the response of Japanese sectoral exports to an exchange rate shock. Furthermore, we use the industry‐specific real effective exchange rate data developed by to allow for different movements of real effective exchange rates across industries. It is found that financial constraints have a significant influence on Japanese exports in response to exchange rate shocks. Japanese exporters with either lower internal financial constraints or external financial constraints are less affected by the yen's appreciation. In addition, if firms face high external financial constraints, only reducing the internal financial constraints cannot help them mitigate the impact of the yen's appreciation on their exports. Thus, an accommodative financial environment also plays an important role in alleviating the impact that the yen's appreciation has on Japanese exports. [ABSTRACT FROM AUTHOR]

Abstract: We examine the implications of Japanese monetary shocks under recent very low and sometimes negative interest rates to the Japanese economy and three of its major trading partners: Korea, China and the United States. In particular, we investigate the implications of shocks to the 2‐year Japanese government bond rate in a series of factor‐augmented vector autoregressive (FAVAR) models, in which both local and global conditions are proxied by latent factors generated from domestic economic indicators and weighted indicators of major trading partners, respectively. Our results suggest that shocks to 2‐year Japanese government bond rates have substantive impacts on Japanese economic activity and inflation in conditions of low or even negative short‐term rates. However, we find only modest global spillovers from Japanese monetary policy shocks compared to innovations in 2‐year US Treasury yields over the same period. [ABSTRACT FROM AUTHOR]

The second arrow of Abenomics is flexible fiscal policy. However, it does not mean just fiscal stimulus as the Abe administration decided on the fiscal consolidation target of achieving a primary surplus by fiscal year 2020. Improving the primary balance implies making government debt more sustainable. Although the consumption tax rate was raised from 5% to 8% in April 2014, the Abe administration has decided twice to postpone increasing the consumption tax from 8% to 10%. In addition, a fiscal stimulus package was implemented. We use a Fiscal Stance Index to examine fiscal policy from the viewpoint of fiscal sustainability and a Markov switching model to examine fiscal policy from the viewpoint of the fiscal theory of the price level, and find that the Abe's fiscal stance is not Ricardian. [ABSTRACT FROM AUTHOR]

Japan has failed to escape from deflation despite an extraordinary monetary policy easing over the past 4 years. Monetary easing undoubtedly stimulated aggregate demand, leading to an improvement in the output gap. However, since the Phillips curve was almost flat, prices have hardly reacted at all. Against this background, the key question is why prices were so sticky. To examine this, we use sectoral price data for Japan and seven other countries including the USA, and use these data to compare the shape of the price change distribution across the eight countries. Our main finding is that Japan differs significantly from the other countries in that the mode of the distribution is very close to zero for Japan, while it is near 2% for other countries. This suggests that while in the USA and other countries the 'default' is for firms to raise prices by about 2% each year, in Japan the default is that, as a result of prolonged deflation, firms keep their prices unchanged. [ABSTRACT FROM AUTHOR]

The article discusses the low inward foreign direct investment (FDI) in Japan after taking into account its size and geographical or cultural distance from potential investors. Topics discussed include an empirical assessment of the impact of Abenomics on Japan's ability to attract inward, the gains for Japan from investment in its sluggish service sector, and a disconnect between the conditions amenable to policy intervention.

The article discusses whether Abenomics has succeeded in increasing Japan's inward foreign direct investment (FDI). Topics discussed include the impact of domestic policies and changes in corporate tax rate in other countries on the growth of inward FDI stock, uncertainty about the existence of inward FDI in Japan, and assumption regarding a constant trend growth rate for the FDI stock to gross domestic product ratio.

Abstract: Our study shows that high‐speed railroads (HSR) can either polarize or diffuse economic geography based on the sector and distance between cities. Economic activities could agglomerate from distant to core areas, while disperse from core toward its periphery at the same time. Empirical evidence from the 1982 introduction of two major HSRs in Japan, which halved intercity transit time, support this. Noncore areas lost 3–6 percent population; service employment declined 7 percent, whereas manufacturing employment increased by 21 percent. Municipalities within approximately 150 km of Tokyo expanded, while the distant ones contracted. The net result is that the Tokyo metropolitan area agglomerates because of HSR. [ABSTRACT FROM AUTHOR]

Trade policy, in particular, the Trans-Pacific Partnership Agreement (TPP), has been a centerpiece of the Abe administration's economic strategy. The TPP's contributions to Japan's growth strategy include: (i) creating trade and investment opportunities abroad for Japanese companies through ambitious liberalization targets; (ii) advancing domestic reforms - with the largest service and agricultural liberalization commitments to date; and (iii) increasing bargaining leverage in other trade negotiations. But the domestic reform goals of Abenomics in agriculture have come up short due to opposition from domestic lobbies. American trade politics - which culminated in the US withdrawal from the TPP - have upended the goals of trade policy under Abenomics. Japan's best option in this new environment is to deliver on high quality, multi-party trade agreements: concluding negotiations with Europe; scaling up the ambition of Regional Comprehensive Economic Partnership; and salvaging a TPP 11. The merits of a bilateral free trade agreement with the USA will depend on how the Trump administration operationalizes its America First policy. [ABSTRACT FROM AUTHOR]

As a symbol of regulations as 'solid as bedrock,' Japanese agriculture is a key target for structural reform under the Abe administration's 'Abenomics' growth strategy. Its reform proposals have encompassed long-standing rice production regulations, agricultural organizations, including the agricultural cooperatives (JA), and the controlled system of milk distribution. The government also seeks to promote agricultural exports and farmers' participation in processing and distributing agricultural products. Led by the Prime Minister's Office, and taking advantage of changes in the political environment of agriculture that have weakened the political power of farmers and JA, the government has launched a reform offensive with variable impact: progress has been made in some areas (e.g. JA reform) but little change in others (such as rice production adjustment). The most significant challenge lies ahead in reforming the farmland system, which is yet to be tackled. [ABSTRACT FROM AUTHOR]

This study analyzes a unique economic circumstance of longevity risk management in the Japanese private nursing home market. This circumstance takes the form of a lump-sum forward payment of lifetime rent by residents, which leaves most longevity risk to be covered by homes. To analyze this circumstance, I construct a structural econometric model of industrial organization for this market. For the underlying structure of longevity risk, I assume that both individual consumers and nursing homes utilize the subjective evaluation. My empirical analysis detects excess payments that can be compensated for only by an unrealistically long stay in nursing homes. This finding implies the existence of the exaggerated evaluation of longevity by economic agents. Thus, appropriate government intervention to help hedge longevity risk might improve social welfare. [ABSTRACT FROM AUTHOR]

The 11 March 2011 Great East Japan Earthquake affected dozens of coastal communities along the shore of Japan's Tohoku region. Following the earthquake, tsunami and nuclear meltdowns, utilities, businesses and schools in some towns have bounced back to pre-disaster capacity while other municipalities have lagged behind. The question of which factors accelerate the recovery of business, infrastructure and population after the disaster remains unanswered. This article uses a new dataset of roughly 40 disaster-affected cities, towns and villages in the area to identify the factors connected with recovery. More than tsunami damage, spending on disaster mitigation, population density, economic conditions or financial capability, the most powerful predictor of recovery for a given area is the number of powerful politicians representing the area in the national government. These findings bring with them important policy implications for residents, NGOs and government decision-makers. [ABSTRACT FROM AUTHOR]

Background In Japan, the number of municipalities that offer free medical care for children has increased. This policy, however, might unintentionally aggravate the overcrowded situation of pediatric ambulatory services in Japan. We investigated the relationship between parents' health-care seeking attitudes according to child symptom severity and the amount of copayment, as well as parents' socioeconomic and demographic factors. Methods We used data for 4385 people from the Japanese Study of Stratification, Health, Income and Neighborhood (J-SHINE), which consisted of stratified random sampling of those aged from 25 to 50 years who lived in Tokyo and neighboring areas. Outcome variables were respondent health-care seeking attitudes toward their children's mild and severe symptoms of cold. Logistic regression models were developed for each dependent variable. Results A total of 1606 respondents with one or more children under the age of 15 years were included in the analysis. For mild symptoms of cold, no subsidy (OR: 0.51, 95%CI: 0.38-0.69) and partial subsidy (OR, 0.71; 95%CI: 0.54-0.95) were associated with fewer 'visit on that day' answers, compared with full subsidy. Income and respondent educational level were not associated with the outcome. For severe symptoms of cold, the OR of no subsidy (0.61; 95%CI: 0.30-1.23) and that of partial subsidy (0.91; 95%CI: 0.40-2.07) were not statistically significant. Conclusion Imposing a small copayment might prevent visits to medical facilities for mild symptoms of cold, but will not prevent visits for severe symptoms of cold. [ABSTRACT FROM AUTHOR]

Japan's outward direct investment ( ODI) began to show an obvious expansion since 2005, accompanied by a greater importance in East Asia and in the manufacturing sector. By analyzing the new wave of Japanese ODI, three points are elaborated in this article. First, the recent Japanese ODI did not result in the same industry to be passed from one country to another as elucidated in the flying geese model. Instead, Japan's ODI only promoted the regional divisional of labor in the transport equipment and electrical machinery industries. Second, this study advances the theory of vertical production network by exploring two regional production networks constructed by Japanese ODI, including one between China, South Korea, Taiwan, and Hong Kong and the other between the Association of Southeast Asian Nations ( ASEAN). Finally, since Japan's economy has been tightly connected with foreign demand via overseas production, this article argues that any sign of Japan's declining ODI will have serious impact to its domestic economic prosperity. © 2015 Wiley Periodicals, Inc. [ABSTRACT FROM AUTHOR]

Aim Treatment cost is one of the biggest concerns for cancer patients. Providing information to cancer patients about treatment cost and available financial support contributes to high-quality care. The aim of this study was to determine chemotherapy costs and other medical care expenditures for patients with cervical and endometrial cancer. Methods Data from the Diagnosis Procedure Combination system, which is the Japanese version of the Diagnosis-related Group system, were used to identify 179 patients with cervical cancer and 244 patients with endometrial cancer who received chemotherapy from 2008-2010 at a specialized cancer hospital. The costs of chemotherapy per bolus, various protocols, and other medical care expenditures were investigated. Results The cost per bolus of chemotherapeutic agents varied from ¥13,804-258,906 ($ US 173-3236). The total medical cost for each course, including supportive care and treatment for chemotoxic symptoms, ranged ¥22,230-590,140 ($ US 278-7377). Fourteen protocols were used in this population. Multiple regression analysis revealed that the factors related to the total medical care cost for cervical cancer were cost of chemotherapeutic agents, laboratory tests, oral medications, number of complications, and age. For endometrial cancer, cost of chemotherapeutic agents, laboratory tests, and oral medications were the factors related to the total medical care costs. Conclusion The cost of various chemotherapy protocols and the total medical care was determined using the Diagnosis Procedure Combination system. Nurses should give the information about treatment cost and discuss the cost with patients to facilitate high-quality care. [ABSTRACT FROM AUTHOR]

The article discusses the fiscal theory of prices in the context of Japan's public finance sustainability. It addresses that the debt to gross domestic product ratio can be controlled without rebuilding primary fiscal balance if the growth rate surpasses the interest rate as per the Dormer condition. It adds that Japan government bonds held by private investors have got reduced, offering improvement in the fiscal stance indicator.