The Public Investment And Result Analysis Of Japan In 1990's

At the end of 1989, the Nikkei Average sharply descended from 38915, the historical peak, which marked that the Japanese economy fell into the long-term depression. In the whole 1990s, Japan made attempts to get rid of the impacts of the shattering of the foam economy and developed the prosperity stimulating programs with the public investment as the main part one after another. However, the effects were not good, Japanese economy did not realize the self-disciplined growth; on the contrary, it was depressed to the deflation state that it was very difficult for it to get rid of; therefore, people call the 1990s of Japanese economy the"lost ten years".In the retrospect the development of the Japanese economy after World War II, the public investment has played the important roles in promoting the development of the social productivity and regulating the effective demand, etc. It is one of the important approaches for the Japanese Government to make use of finance to regulate economy and one of the important means of interfering in the economy. Expanding the amount of public investment to stimulate the economic restoration, it has survived the crisis for many times. In the"oil crisis"in 1970s, it increased the public investment to expand the internal demand, which is one of the important examples. And then, in 1990s, why could the public investment of Japan not achieve the ideal effects? With this thinking, the emphasis goes to analyze the reasons for the poor effects of the public investment of Japan in 1990s by starting from the unique connotations and range of the pubic investment of Japan, refer to the Japanese experience of public investment and conclude the important revelations for the public investment of China in the paper.