Exploring the Impact of Government Policies on Japanese Economy from 1945 to 1960

Abstract

Japan was known as one of the largest economies in the world and its economy once created developing miracles back to the 1960s-1980s. However, Japan went through a very difficult time after the World War II, its capital and investments declined so much during the war that the whole country lost almost all its advantages comparing with the United States and many other developed countries, and yet, Japan still found a way out of the trouble and started to build its new path to success on economy. The question about how this country recovered so fast has bothered people for a long time. The core of Japan’s success comes from its changes after the failure of the war, and most of its economic and political structure changes were led by the Japanese government and SCAP which played important roles during this complex and difficult period. Policies established by the Japanese government and SCAP almost influenced this country’s many aspects, especially in agriculture and industry areas, and the reform of these domains finally led the whole country’s economy to develop. This article is going to research on how these policies influenced the country and why these changes are important by researching details of some most important policies the Japan government had established during this period and analyzing their historic contents and statistics. The research result and process would provide a new perspective of economic development to the public.