Analysis Of The Bad Debt Problem Of Japanese Financial Institutions

After the bubble economy collapsed,Japan s economy was long in stagnation and recession. From the middle of 1990 s, one of the serious consequences of bubble economy ad debt as emerged and been worsening, which has hindered Japan s economic recovery and endangered the stablization of Japan fi- nancial and economic organization. The thesis analyses comprehensively the bad debt problem of Japan s fi- nancial institution, as based on Marxist basic viewpoint and the demand of our country s financial and economic development. This thesis consists of 5 sections. In the first section, it studies Japan s macroeconomic background, upon which the bad debt is formed, arid points out the relation between Japan s bubble econo- my and the bad debt. The second section is mainly about the annotation and the scale of Japan s bad debt. At the same time, the thesis analyses the serious influ- ence of the bad debt on the normal business activity of Japan s financial institu- tion. In the third section, the thesis studies the specific causes of Japan s bad bedt, such as the financial organization and policy, the business activity of the fi- nancial institution and the negative influence of Asian financial crisis on Japan s financial institution. The main section of this thesis is the fourth one. In this sec- tion, the author emphasizes the methods and the measures to settle the bad debt. Although the result of these methods and measures was not as we11 as expected, they have had some active impacts on the bad debt. And so far, the bad debt of Japan s financial institution has been settled tentatively and temporarily. The last section discusses several issues in settling the bad loan of our country s banks, which could also been seen as some enlightenments from the settlement of Japan s bad debt.