Yasuhiro Nakasone is the face of contemporary Japan. As prime minister from 1982 to 1987, he embodied the changing course of his country. Inside Japan, he directed an administrative reform movement designed to reduce the role of the bureaucracy, privatize key industries, and make government smaller. He preached the need for Japan to "internationalize" in accordance with its increased economic power--calling on all of Japan to shoulder a greater burden for world peace and economic growth. And his bold personal political approach reflected an unusual appreciation of western-style campaigning and politics. Internationally, Mr. Nakasone was the first Japanese prime minister to participate aggressively and forcefully at the annual economic summit meetings of the seven leading western nations. His close relationship with President Ronald Reagan--the "Ron-Yasu" relationship--was key to his ability to resolve tough trade issues that surfaced during his years as prime minister. In this wide-ranging interview, former Prime Minister Nakasone discusses a broad assortment of issues, including the shape of the U.S.-Japan relationship, the strengths and weaknesses of management in the two countries, the cause of the United States's diminished competitiveness, the qualities that define a leader, and his own preparations to become Japan's prime minister. The United States, says Mr. Nakasone, is still the most powerful country in the world and will be as long as it maintains its "frontier spirit." As for the U.S.-Japan relationship, Mr. Nakasone reveals what he told Ronald Reagan: "You be the pitcher, I'll be the catcher. But once in a while, the pitcher must listen to the catcher's good advice." [ABSTRACT FROM AUTHOR]