Japan’s Economic Recovery
The Asian financial crisis has cast a pall over Japan’s already fragile economic prospects. Most directly, the Asian problem will crimp the demand for Japanese exports. Approximately 40% of Japan’s overseas shipments go to its newly industrialized neighbors. Less directly—but just as important ly— exposures in these countries may force Japanese banks to restrict their domestic lending.
Suggested citation: “Japan’s Economic Recovery,” Federal Reserve Bank of Cleveland, Economic Trends, no. 98-01, pp. 19, 01.01.1998.