Japan's Bubble Economy In The 1980s And The Lost Twenty Years

In the mid-to-late 1980 s,the signing of the "Plaza Agreement" led to a significant appreciation of the yen,which became the trigger for the Japanese bubble economy.In the early 1990 s,the Japanese bubble economy collapsed and the domestic economy was devastated,entering a decade of recession.The current state of economic development in China is similar to that of Japan prior to the bubble economy.Research on the Japanese bubble economy has far-reaching significance for China.This paper conducts in-depth research on the formation and collapse of the Japanese bubble economy and discusses the implications for China.The main research contents and inspiration are as follows:(1)A theoretical review of the bubble economy.The “bubble economy” related theories are basically combed,and several concepts that are easy to confuse with the bubble economy are distinguished,the formation mechanism and harm of the bubble economy are discussed,and the understanding of the bubble economy is deepened.(2)The formation and causes of the Japanese bubble economy.The development process of the Japanese bubble economy was divided into three development stages in a chronological order,and the reasons for its formation were analyzed in detail.It was considered that the government's macroeconomic policy-making mistakes were the direct cause of the Japanese bubble economy,and the main banking system was negative.The influence,the drawbacks of the legal person mutual holding system and the problems of Japan's real economy itself have a non-negligible effect on the Japanese bubble economy.(3)Empirical analysis of the appreciation of the yen and the asset price bubble.Select stock price as the representative of asset price,and analyze the relationship between it and the nominal exchange rate of the yen against the US dollar through co-integration,and get the inverse relationship between the yen exchange rate and the asset price,that is,the appreciation of the yen has played a role in promoting the emergence of an asset price bubble.(4)The collapse of the Japanese bubble economy and its consequences: 20 years ofloss.From the causes of the collapse of the bubble economy in Japan,their performance,and the serious consequences they have brought,such as the loss of two decades,the government's economic policy mistakes are the trigger for the collapse of the Japanese bubble economy and the collapse of the stock market and real estate market.This is the main performance of the collapse of the Japanese bubble economy.The financial industry has been hit hard,the business conditions have deteriorated,the unemployment rate has increased,the consumption of residents has fallen,and the economic growth rate has dropped sharply.This is the main performance that has been lost for 20 years.(5)The enlightenment of Japan's bubble economy to China.Taking the Japanese bubble economy as a lesson,it is pointed out that China's current economic development status is similar to Japan before the bubble economy.The main performance is that the local currency is subject to appreciation pressure,money supply increases,and asset prices have risen sharply.The enlightenment of the Japanese bubble economy to China is discussed: prudent regulation of macroeconomic policies,intensification of financial reform work,promotion of the development of the real economy,establishment of a long-term mechanism for the expansion of domestic demand,and the maintenance of sustained and healthy economic development.This article has studied the Japanese bubble economy in the 1980 s and lost 20 years.It has deepened our understanding of the Japanese bubble economy and has drawn implications for China's economic development.It helps to prevent China from entering the Japanese bubble economy.The following steps have certain theoretical and practical significance for guiding the economic development of contemporary China.