How immigration can boost the Japanese economy by mitigating the effects of population aging
Keywords:
Zainchi Koreans, total fertility rate, sectoral output, gross naional product, skilled immigrant, unskilled immigrantAbstract
The economic impact of immigration depends on the characteristics of the host countries. Immigration has had positive results in countries like the USA, Australia, Canada, and the UK. This paper seeks to demonstrate how Japan would also benefit from immigration. The main barrier to implementing inclusive policies in Japan is the longstanding cultural belief, that immigrants are invaders instead of equal who can enjoy the same rights as native-born Japanese. The aging of Japan’s population is affecting its labor market where there is more demand than supply, meaning that the overall economy is running below its potential. In order to match demand with supply, Japan needs to contemplate the plausible option of letting in more immigrants to fill up vacancies. If Japan fails to do this, it will see a decline in its output capacity, meaning that it will lose competitiveness and productivity with adverse effects on the economy.
Downloads
References
Aleksynska, M. and Tritah, A. (2015). The heterogeneity of immigrants, host countries’ income and productivity: A channel accounting approach, Economic Inquiry 53(1): 150-172
Borjas, G., 2014. The Economic benefits from immigration. The Journal of Economic Perspectives 9 (2), 3-22. Retrieved from https://www.nber.org/papers/w4955.pdf
Brody, B. (2002). Opening the Door: Immigration, Ethnicity, and Globalization in Japan. Routledge (Vol. 53). https://doi.org/10.1017/CBO9781107415324.004
Coppel, J., Dumont, J. and Visco, I. (2001), “Trends in Immigration and Economic Consequences”, OECD Economics Department Working Papers, No. 284, OECD Publishing, Paris, https://doi. org/10.1787/553515678780.
Christian D, Albrecht G, Tommaso F, Oxford Review of Economic Policy, Volume 24, Issue 3, Autumn 2008, Pages 477–494, https://doi.org/10.1093/oxrep/grn024
Danyer, S., & Kashiwagi, A. (2018, December 7). Japan passes controversial new immigration bill to attract foreign workers. The Washington Post. Retrieved from https://www.washingtonpost.com/world/japan- passes-controversial-new-immigration-bill-to-attract-foreign-workers/2018/12/07/a76d8420-f9f3-11e8- 863a 8972120646e0_story.html?noredirect=on&utm_term=.abae660aa367
Danyer, S., & Kashiwagi, A. (2018, November 21). Japan Wakes up to Exploitation of Foreign Workers as Immigration Debate Rages. The Washington Post. Retrieved from https://www.washingtonpost. com/world/2018/11/21/japan-wakes-up-exploitation-foreign-workers-immigration-debate-rages/?utm_ term=.013bd7a285fa
David Card ILR Review Vol. 43, No. 2 (Jan., 1990), pp. 245-257 DOI: 10.2307/2523702
Grossmann, V. How immigration affects investment and productivity in host and home countries. (2016). IZA World of Labor 292 doi: 10.15185/izawol.292
Hollifield, F.J. & Sharpe, M.O. (2017). Japan as an ‘Emerging Migration State’, International Relations of the Asia-Pacific 17(3), 371-400, doi: 10.1093/irap/lcx013
Iwata, M., & Nemoto, K. (2018). Co-constituting migrant strangers and foreigners: The case of Japan. Current Sociology, 66(2), 303–319. doi: 10.1177/0011392117736306
Jung, Y. (2004), Can Japan Become “A Society Attractive for Immigrants?” Identity, Gender and Nation‐States under Globalization in East Asia. International Journal of Japanese Sociology, 13: 53-68. doi:10.1111/j.1475-6781.2004.00053.x
Kashiwazaki, C. (2013) Incorporating immigrants as foreigners: multicultural politics in Japan, Citizenship
Studies, 17:1, 31-47, doi: 10.1080/13621025.2013.764216
Kwansei Gakuin University Journal of international studies 4(1), 9–22. Retrieved from https://kwansei.repo.nii.ac.jp/action=pages_view_main&active_action=repository_view_main_item_detail&item_ id=22433&item_no=1&page_id=30&block_id=84
Lee, E. J., & Olsen, J. E. (2015). Multiculturalism in Japan: An Analysis and Critique, 4(1), 9–22. Retrieved from https://kwansei.repo.nii.ac.jp/?action=pages_view_main&active_action=repository_view_main_ item_detail&item_id=22433&item_no=1&page_id=30&block_id=84
Manabu, S. (2009). RIETI Discussion Paper Series 09-E-020. The Impact of Immigration on the Japanese Economy: A multi-country simulation model. Retrieved from https://www.rieti.go.jp/jp/publications/ dp/09e020.pdf
Nagayoshi, K. (2011). Support of Multiculturalism, But For Whom? Effects of Ethno-National Identity on the Endorsement of Multiculturalism in Japan. Journal of Ethnic and Migration Studies, 37(4), 561–578. https://doi.org/10.1080/1369183X.2011.545272
Nations, U. (2017). The International Migration Report 2017 (Highlights). Publications. Retrieved from https://www.un.org/development/desa/publications/international-migration-report-2017.html
Ogawa, N. (2011). Population Aging and Immigration in Japan. Asian and Pacific Migration Journal, 20(2), 133–167. doi: 10.1177/011719681102000202
Omura, M. (2011). Economic impacts of surge in immigration in Japan from 2000-2009 - Bonus or onus? New ESRI Working Paper, (19). Retieved from http://www.esri.go.jp/jp/archive/new_wp/new_wp020/ new_wp019.pdf
Orefice, G. (2010). Skilled Migration and Economic Performances: Evidence From OECD Countries. Discussion Paper 2010-15. 146 (4), 781-820. Retrieved from https://sites.uclouvain.be/econ/DP/ IRES/2010015.pdf
OECD, (2014). Is migration good for the economy? Migration Policy Debates. Retrieved from https://www. oecd.org/migration/OECD%20Migration%20Policy%20Debates%20Numero%202.pdf
OECD/ILO, (2018). How immigrants contribute to developing countries’ economies: Immigration and Economic Growth. Chapter 5. Retrieved from file:///C:/Users/dcastil5/Documents/Immigration%20and%20 economic%20growth.pdf
Oxford Review of Economic Policy, Volume 24, Issue 3, Autumn 2008, Pages 477–494, https://doi. org/10.1093/oxrep/grn024
Peri, G. (2016). Immigrants, Productivity, and Labor Markets. Journal of Economic Perspectives, 30(4), 3–30. doi: 10.1257/jep.30.4.3
United Nations. (2017). The International Migration Report 2017 (Highlights). Publications. Retrieved from https://www.un.org/development/desa/publications/international-migration-report-2017.html
Yamamoto, B.A. (2012) From structured invisibility to visibility: Is Japan really going to accept multiethnic, multicultural identities? Identities, 19:4, 428-439, doi: 10.1080/1070289X.2012.717895
Downloads
Published
Issue
Section
License
Authors who publish with this journal agree to the following terms:
- Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under aCreative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
- Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
- Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See The Effect of Open Access).
