Abstract
This paper documents and analyzes Japan's various import promotion policies. Appeasing Japan's trade partners, particularly the United States, seems to be a major goal of these policies. The import promotion efforts are best described as lowering the fixed costs of entry into the Japanese market or lowering the switching costs involved in switching from a domestic supplier to a foreign one. Various models of the policies are discussed along with their different predictions as to the effects of the policies. J. Japan. Int. Econ., September 2001, 15(3), pp. 253–270. Department of Economics, University of Hawaii at Manoa, 2424 Maile Way, SSB 542, Honolulu, Hawaii 96822. Copyright 2001 Academic Press.Journal of Economic Literature Classification Numbers: F13, F14.
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