PERSPECTIVE

Outlook 2002: Japan's politics, economy could shift dramatically

A New Year 2002 survey of Japan makes two things clear. First, Japan is a very different place today than it was at this time last year. Politically, Koizumi has set a new style of openness that others will have to try to match. Economically, Japan's economy is in the opening stages of the worst recession in the post-war era. On the security front, Japan is emerging as a player in regional military-security affairs faster than most thought possible.

Second, over the next 12 months, Japan could very well experience equally far-reaching changes. TOE discusses four possible scenarios for the coming months.

TOKYO INSIDELINE

Strong words, little progress: Prime Minister Koizumi vs. the anti-reformers

Right at the close of 2001, Prime Minister Junichiro Koizumi won the Annual Grand Prize for Fashionable Words, which illustrates his phenomenal popularity. Koizumi's sound bites have been picked up by TV talk shows, which have taken over from the smoke-filled back rooms of Nagatacho as the main locus of political influence in Japan. But as the shadows darken across the nation, Koizumi's sound bites echo eerily in the airwaves - especially the one about 'the pain of reform'.

Political Outlook

Soichiro Tahara: Bank troubles could sink Koizumi

Soichiro Tahara shares his views with TOE about the political and economic outlook of Japan and what it means for Prime Minister Koizumi.

US POLICY

The scoop on Lindsey's leak: Washington not seeking weaker yen

As the yen tumbled to 131, its lowest level since the 1998 financial crisis, a confusing series of leaks, counter-leaks, and press statements from the Bush administration convinced investors that Washington was complicit with Tokyo in pushing down the yen. That is not correct.

INTERVIEW

Glenn Hubbard: Japan's problems are very deep

Glenn Hubbard discusses Japan's economic problems and his perspective on the country's fiscal and monetary policy measures to deal with them.

ECONOMIC OUTLOOK

Stephen Roach: Japan going straight down

Stephen Roach talks to TOE about the US economy and recent comparisons of the US with Japan and its economic problems.

SECURITY

Interview with Ralph Cossa

Ralph Cossa shares his views with TOE about the evolving security role for Japan in East Asia, and an assessment of overall security relations in East Asia.

WORLD ECONOMY

Joseph Stiglitz: The situation in Japan is truly bleak

Joseph Stiglitz discusses the US and other world economies, and comments on his sparring matches with the IMF and the US Treasury.

MANAGEMENT

Michael Porter: Japanese companies can change

Michael Porter comments on Hitotsubashi University's annual Porter Award and corporate restructuring in Japan.

IMPERIAL HOUSEHOLD

Power behind the throne: Will a new birth shake up an ancient institution?

The Imperial Household Agency has done an impressive job of transforming the public image of the imperial household from one of infamy at the end of World War II to one of respectable - albeit lackluster - dignity. It will be even more impressive if it can revitalize it again. Supporting a female monarch would be a good start.

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