Japanese Tax Policy: Hearing Before the Joint Economic Committee, Congress of the United States, Ninety-eighth Congress, Second Session, September 24, 1984

Front Cover
U.S. Government Printing Office, 1985 - Japan - 163 pages
 

What people are saying - Write a review

We haven't found any reviews in the usual places.

Other editions - View all

Common terms and phrases

Popular passages

Page 73 - See Chalmers Johnson, MITI and the Japanese Miracle (Stanford, CA: Stanford University Press, 1983), pp.
Page 80 - He specifically cites Japan in 1971 and 1973 as experiencing exactly this kind of drift. "Generally speaking," Johnson contends, "the great strength of the plan-rational system lies in its effectiveness in dealing with routine problems, whereas the great strength of the market-rational system lies in its effectiveness in dealing with critical problems. In the latter case, the emphasis on rules, procedures, and executive responsibility helps to promote action when problems of an unfamiliar or unknown...
Page 80 - Third, the plan-rational system depends upon the existence of a widely agreed upon set of overarching goals for the society, such as high-speed growth. When such a consensus exists, the plan-rational system will outperform the market-rational system on the same benchmark, such as growth of GNP, as long as growth of GNP is the goal of the plan-rational system. But when a consensus does not exist, when there is confusion or conflict over the overarching goal in a plan-rational economy, it will appear...
Page 64 - I want to thank you for the work that you have done and for the work that your association is doing and this contribution that you are making to the strengthening of America, because that is what it is, as I view it. It is not something for one segment of education — it is not something for one segment of our population. Mr. SALLING.
Page 24 - ... subject to tax when realized, unless one of two conditions is met. First, capital gains are not taxed if a new residence of equal or greater value is purchased or constructed within a period 24 months before to 24 months after the first residence is sold. If the price of the new residence is less than the selling price of the old residence (less any selling expenses) then the difference between the two prices must be recognized as a gain. The basis of the new residence must be reduced by the...
Page 72 - ... which government policies interacted with general economic conditions changed markedly over time; the post-World War II history can usefully be grouped into three periods: the 1945-65 period, 1965-73 period, and 1973 to the present. Role of MITI in Reviving Basic Manufacturing Industries: 1945-1965 The process of promoting economic growth began as soon as the war ended and was considerably accelerated in 1948/49 when US occupation policy shifted from one of trying to limit Japan's reemergence...
Page 122 - Special initial depreciation on assets acquired by small- and medium-sized enterprises according to the rationalization program under the Law on Extraordinary Measures for small and medium enterprises located together in specific areas II. Accelerated depreciation A.
Page 84 - ... behavior of firms and consumers is determined by the overall combination of pressures on supply and demand, of which government policies or outside shocks are only one part. In general, and as discussed in detail in subsequent chapters on the financial system, new industries, and declining industries, the Japanese government's role in promoting industrial development has declined over the course of the postwar period. On the other hand, government intervention in the economy for other reasons...
Page 103 - ... or more are eligible. The export incentive from this deduction is relatively large — a firm may deduct as an expense 28 percent of revenue in case one and 16 percent in case two — although the absolute size of this deduction cannot exceed 40 percent of corporate income. porary measure, to encourage investment in specific industrial facilities such as those to conserve energy or reduce pollution levels. This credit was later extended in 1979 to aid only those coporations engaged in industries...
Page 45 - In total, the erosion of the tax base through such preferences is much larger in Japan than it is in the United States and most other developed countries (even though some of the special measures have been abolished in recent years). The few studies that have been made have concluded that the tax preferences promoted modernization of plant and equipment in the steel and machinery industries but had little influence either on savings of households or on investment in other industries. On the basis...

Bibliographic information