The role of international transfer of technology in Japan's economic growth

Abstract

The study has two objectives. The first is to review the current state of knowledge about the quantitative role of technological progress in Japan's economic growth. While a few studies have challenged its preeminent role as a source of growth, attributing such growth to a more highly educated labor force or to a rapid growth of capital, etc., a main finding of recent research has been to reaffirm technological change as the most important source of growth. The second objective of the study is to suggest how this rapid technological progress was achieved. A process is described in which, in Japan, a national policy on growth was established, policy tools developed, cooperation of involved groups secured, and new commodities marketed. In this process, the importation of foreign technology apparently played a key role and the study calls for detailed research on this key factor.