Sun, and Some Clouds
13 October 2007
Editor, The Washington Times
To the Editor:
George Lesser correctly notes that Japan's economy is among the most advanced in the world ("Lessons Learned in Japan," October 13). But he's on shakier grounds when suggesting that ordinary Japanese citizens live better than do ordinary Americans. Japan's protectionist agricultural policies keep food in that country notoriously expensive - a fact that contributes to Japan's GDP per capita (calculated according to purchasing power parity) being only about 75 percent of what it is in America (and only 85 percent of what is in Hong Kong).
Or consider housing: even though the Japanese population is older than that of the U.S., and even though the average Japanese home is only one-third the size of the average American home, the home-ownership rate in Japan is lower than in the U.S. (60 percent compared to America's 68 percent).
Sincerely,
Donald J. Boudreaux
Chairman, Department of Economics
George Mason University
Editor, The Washington Times
To the Editor:
George Lesser correctly notes that Japan's economy is among the most advanced in the world ("Lessons Learned in Japan," October 13). But he's on shakier grounds when suggesting that ordinary Japanese citizens live better than do ordinary Americans. Japan's protectionist agricultural policies keep food in that country notoriously expensive - a fact that contributes to Japan's GDP per capita (calculated according to purchasing power parity) being only about 75 percent of what it is in America (and only 85 percent of what is in Hong Kong).
Or consider housing: even though the Japanese population is older than that of the U.S., and even though the average Japanese home is only one-third the size of the average American home, the home-ownership rate in Japan is lower than in the U.S. (60 percent compared to America's 68 percent).
Sincerely,
Donald J. Boudreaux
Chairman, Department of Economics
George Mason University
Posted by Don Boudreaux on
Saturday April 12, 2008 at 12:58pm