OECD Science, Technology and Industry Working Papers

ISSN :
1815-1965 (online)
DOI :
10.1787/18151965
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The Directorate for Science, Technology and Industry (STI) leads OECD research and policy work on knowledge-based sources of economic and social growth and, more specifically, on the translation of science and technology into innovation. It works in the subject areas of science, innovation, biotechnology, nanotechnology and industry, among others. OECD Science, Technology and Industry Working Papers cover this broad range of issues and consist of studies, both technical and analytical in nature, prepared by staff or outside consultants. It includes working papers, which are meant to share early knowledge and elicit feedback, and occasionally policy reports, which are officially declassified by an OECD Committee.
 

Opening Japan: Comparisons with Other G20 Countries and Lessons Learned from International Experience You or your institution have access to this content

Authors:
Andrea Beltramello1, Koen De Backer1, Victor Mercader1, Laurent Moussiegt1
Author Affiliations
  • 1: OECD, France

Publication Date
22 Aug 2011
Bibliographic information
No:
2011/02
Pages
106
DOI
10.1787/5kg6nk6w3v7c-en

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Openness has been shown to be an important driver of economic growth. Because of the broad character of the current globalisation process, openness has many dimensions: trade (in both goods and services), foreign direct investment (FDI), circulation of people (including the highly skilled), and internationalisation of R&D, technology and knowledge. Economies not only benefit from inward flows of goods, services, people, capital and knowledge, but also from outward flows of those factors of production. But economic openness does not necessarily yield automatic benefits, and governments may need to complement policies to open the economy with policies that help individuals and firms adjust to liberalisation and ensure that aggregate benefits for the domestic economy are optimised. This working paper aims to assess the openness of the Japanese economy and to show how policies promoting openness are conducive to long-term growth. First, the paper benchmarks Japan in terms of openness in an international perspective relative to other G20 countries. Second, it reviews the theoretical and empirical literature on the link between openness and economic growth. Third, it illustrates the role that governments can play in stimulating openness and growth by presenting several case studies of countries that have implemented specific policies to promote openness in particular domains.