The Japanese Miracle

The Japanese Miracle refers to the amazing economic revival that occurred in Japan after WWII. This economic miracle occurred partly due to the aid and assistance of the United States, but chiefly due to the economic intervention of the Japanese government.

The distinguishing characteristics of the Japanese economy during the "economic miracle" years included: the cooperation of manufacturers, suppliers, distributors, and banks in closely knit groups called " keiretsu "

Japan, at the end of the Second World War, was a defeated nation in ruin. However, in the aftermath of defeat and under US Allied troupes occupation, Japan began an extensive reconstruction process in which a Democratic framework in Japanese government and politics was put into place, and where Japanese economic was renewed more powerful then ever before. This eventually made Japan into the 2nd most economically powerful nation on Earth in the latter decades of the Cold War.