Chapter 8. Industry Rules: From Deregulation to Self-Regulation

Ulrike Schaede

Japanese Economy, 2000, vol. 28, issue 6, 35-58

Abstract: A major point of contention between Japan and its trading partners has long been the issue of market access and competition. For decades, foreign companies have complained about an "uneven" playing field and limited access to Japan's large, affluent market due to industrial policy, implemented by the Ministry of Economy, Trade, and Industry (METI) and other ministries to uphold vast regulations and protect domestic producers. Foreign governments, in particular that of the United States, backed their domestic corporate interests by initiating a series of trade negotiations intended to increase market access, beginning with agriculture and then progressing to manufacturing, transportation, telecommunication, and the service and financial industries. 1 The Japanese government responded to these pressures with a process of seemingly never-ending "regulatory reforms." This chapter argues that the result of this extended process is a prime example of permeable insulation.

Date: 2000
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DOI: 10.2753/JES1097-203X280635

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