Changes

==Economy==

==Economy==

Japan's industrialized, free market economy is the second-largest in the world. Its economy is highly efficient and competitive in areas linked to international trade, but productivity is far lower in protected areas such as agriculture, distribution, and services. After achieving one of the highest economic growth rates in the world from the 1960s through the 1980s, the Japanese economy slowed dramatically in the early 1990s, when the "bubble economy" collapsed, marked by plummeting stock and real estate prices.  

Japan's industrialized, free market economy is the second-largest in the world. Its economy is highly efficient and competitive in areas linked to international trade, but productivity is far lower in protected areas such as agriculture, distribution, and services. After achieving one of the highest economic growth rates in the world from the 1960s through the 1980s, the Japanese economy slowed dramatically in the early 1990s, when the "bubble economy" collapsed, marked by plummeting stock and real estate prices. Together with the impact of the worldwide [[recession of 2008]], Japan's status as a global economic power is slipping fast, with China poised to supplant Japan as the world' second-largest economy by 2010 or 2011.  

Japan's reservoir of industrial leadership and technicians, well-educated and industrious work force, high savings and investment rates, and intensive promotion of industrial development and foreign trade produced a mature industrial economy. Japan has few natural resources, and trade helps it earn the foreign exchange needed to purchase raw materials for its economy.  

Japan's reservoir of industrial leadership and technicians, well-educated and industrious work force, high savings and investment rates, and intensive promotion of industrial development and foreign trade produced a mature industrial economy. Japan has few natural resources, and trade helps it earn the foreign exchange needed to purchase raw materials for its economy.  

Trade between the United States and Japan remained strong in 2006. Total trade grew about 0.2% year-on-year. U.S. exports to Japan reached $62.7 billion in 2007, up from $59.6 billion in 2006. U.S. imports from Japan totaled $145.5 billion in 2007 ($148.1 billion in 2006).  

Trade between the United States and Japan remained strong in 2006. Total trade grew about 0.2% year-on-year. U.S. exports to Japan reached $62.7 billion in 2007, up from $59.6 billion in 2006. U.S. imports from Japan totaled $145.5 billion in 2007 ($148.1 billion in 2006).  

U.S. foreign direct investment in Japan reached $91.8 billion in 2006, up from $79.3 billion in 2005, according to data compiled by the U.S. Department of Commerce's Bureau of Economic Analysis. New U.S. investment was especially significant in financial services, Internet services, and software, generating new export opportunities for U.S. firms and employment for U.S. workers.  

U.S. foreign direct investment in Japan reached $91.8 billion in 2006, up from $79.3 billion in 2005, according to data compiled by the U.S. Department of Commerce's Bureau of Economic Analysis. New U.S. investment was especially significant in financial services, Internet services, and software, generating new export opportunities for U.S. firms and employment for U.S. workers.

==History==

==History==