Abstract
The subject of this article is the Japanese enigma: the long-lasting extraordinarily rapid economic growth, the so-called Japanese economic miracle, and then a very sharp set-back in the growth rate, the prolonged recession. The authors, using an endogenous growth model, have proven that an economic miracle did not happen in Japan either: the very rapid growth proceeded in conformity with the general regularities of economic development. The main cause of prolonged recession, according to the empirical results, is the currency shock, occurred on the basis of an international agreement in the mid-1980s, which decelerated the hitherto extremely dynamic development of Japanese exports, considerably retarding the main factor of rapid economic growth.
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