The Changing Structure of Japanese Trade Flows, Issues 90-107The changes to the structure of Japanese exports and imports in the second half of the 1980s departed significantly from past trends. Econometric analysis confirms that some of the structural changes—notably the importance of consumer goods trade—cannot be fully explained using conventional trade equations. However, the structural changes were consistent with the likely nonlinear effects of the unusually large appreciation of the yen during 1985-87, which, among other things, precipitated a surge in Japanese foreign direct investment. |
Other editions - View all
Common terms and phrases
Actual capital equipment capital goods exports Chart commodity classification competitors composition of world consumer durable consumer goods equation consumer goods imports Consumer nondurables cost competitiveness data definitions decade exchange rate changes export unit values exports of consumer fixed investment hysteresis import demand import value divided import volume increased industrial production industrial supplies integrated circuits inventory/sales ratio iron and steel Japan Japanese exports Lagged dependent variable large exchange rate manufactured imports Newly industrializing economies non-oil imports nonmanufactured imports nonprice factors overseas direct investment parameter stability past trends percent of total period Province of China ratio in manufacturing real domestic demand real import penetration real market share reflected Relative prices Relative unit labor second half Staff estimates Table Taiwan Province Test for parameter Textiles total domestic demand total exports U.S. dollars unit labor costs unit values divided volume was defined voluntary export restraints weighted average wholesale price index world demand yen appreciation