Quarterly Journal of Austrian Economics

Explaining Japan’s Recession

The Quarterly Journal of Austrian Economics
Downloads

Volume 5, No. 2 (Summer 2002)

 Japan has experienced an Austrian business cycle. The initial boom was created by a central bank–induced monetary expansion. Because of repeated interventions, the economy has not recovered. The greatest malinvestments took place in capital-intensive industries in the earlier stages of production. For Japan’s economy to recover the government must stop intervening in the economy and allow the market process to realign the structure of production to match consumer preferences.  

CITE THIS ARTICLE

Powell, Benjamin. “Explaining Japan’s Recession.” The Quarterly Journal of Austrian Economics 5, No. 2 (Summer 2002): 35–50.

 

 
All Rights Reserved ©
What is the Mises Institute?

The Mises Institute is a non-profit organization that exists to promote teaching and research in the Austrian School of economics, individual freedom, honest history, and international peace, in the tradition of Ludwig von Mises and Murray N. Rothbard. 

Non-political, non-partisan, and non-PC, we advocate a radical shift in the intellectual climate, away from statism and toward a private property order. We believe that our foundational ideas are of permanent value, and oppose all efforts at compromise, sellout, and amalgamation of these ideas with fashionable political, cultural, and social doctrines inimical to their spirit.

Become a Member
Mises Institute