The purpose of this paper is to identify characteristics of the complexities and organizational limits that science-based industries in Japan are facing, to clarify the causes and effects of those characteristics and to show how they are related to the recent decline in global competitiveness in...

Current theoretical and empirical research suggests that small banks have a comparative advantage in processing soft information and delivering relationship lending. The most comprehensive analysis of this view found using U.S. data that smaller SMEs borrow from smaller banks and smaller banks...

Middle classes in East Asia are a product of regional economic development which has taken place in waves under an American informal empire, over half a century, first in Japan, then in NIEs, then in Thailand, Malaysia, Indonesia and the Philippines and now in China. They are a product of...

Japanese shares of export and manufacturing value added in the global market have declined significantly, whereas those in China have risen sharply. Recent increase of global offshoring is noteworthy as a factor to cause changes in the structure of international trade and the production-depth....

We conduct experiments of a cheap-talk game with incomplete information in which one sender type has an incentive to misrepresent her type. Although that Sender type mostly lies in the experiments, the Receiver tends to believe the Sender's messages. This confirms "truth bias" reported in...

The paper examines the use of free trade agreements (FTAs) by Japanese firms. The analysis utilizes information collected by way of a questionnaire survey. The analysis finds that the use of FTAs by Japanese firms is very limited. Many Japanese firms do not take advantage of free trade via FTAs...

Concerns over the rise in the vintage of capital in the Japanese economy have focused attention on the technological progress embodied in capital. In this paper, we derive the theoretical relationship between the rate of technological progress embodied in capital, the obsolescence rate of...

The pass-through effects of exchange rate changes on the domestic prices in the East Asian countries are examined using a VAR analysis including several price indices and domestic macroeconomic variables as well as the exchange rate. Results from the VAR analysis show that (1) the degree of...

Considering that the ownership structure of Japanese corporations has changed dramatically in the 1990s, this paper address a series of question related to these changes. Why is cross-shareholding, which has been in place for almost three decades, now beginning to unwind (and the mechanisms of...