Abstract
tural differences between Japan's economy and that of the other advanced industrial nations, especially that of the United States. This subject is relevant not only to academics interested in how and why Japanese economic behaviour differs from that of the west, but also to policy makers concerned with the so-called Japanese economic challenge. In this paper we highlight one important structural difference betweenJapan and North America: the nature of the interaction between the markets for higher education and labour. Basically we argue that the American higher education market is mainly demand driven, while the Japanese higher educa
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