Economic costs of Japanese immigration policy

Japan is the most hermetic country of the well-developed ones. The percentage share of non-tourist foreigners in the general population living permanently in Japan does not exceed 1.7%. Public debt, on the other hand, amounts to 253% of GDP (data for the year 2017). Both factors are linked to the restrictive immigration policy, the unfavorable demographic trend, the aging of the population and the direction of migration within Japan itself. Currently, some attempts to change the unfavorable trends can be observed however, the data presented in this study remain unambiguously negative for the foreseeable future of the Japanese economy. Even though the government prepared the reform package includes such a solution like 1) financial stimulus, 2) expansive monetary policy 3) and a few of structural changes, the Japanese inflation oscillates around 0-1%. What’s more important, those solutions won’t fix some of economic issues like aging society and negative demographic trend. The question is not about the immigration policy itself, but about the scale of it.

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