As a result of the U.S. sub-prime loan problem, which triggered a contraction of the financial system, growth in the world economy is decelerating, including both the leading economies of the U.S., EU and Japan, as is growth in emerging economies, which had been remarkable to this point. This Institute will discuss the short-term and long-term roles that the U.S. and Japanese government, financial authorities and business world should play, and the effects of policies, and recommend specific solutions to the current situation.
Combined with rising energy prices, the pressure on demand in the agriculture products market has caused the price of agricultural products and food to rise, putting pressure on family budgets in industrialized countries, and further reducing the quality of life for the poorest people in developing countries. We will discuss and propose concrete measure concerning the proper approach to U.S. and Japanese alternative energy policies in the future.
The financial panic had a significant effect on the election results of the U.S. presidential election in November 2008 and a similar effect on Japan's Diet elections in September 2009. There has never been a time where a global economic downturn of this magnitude impacted nation-wide elections to select the national leaders of both the U.S. and Japan. It is vital to analyze this unprecedented situation as a political and economic crisis from an international perspective.
Japanese foreign policy is unlikely to weaken the relationship between the U.S. and China in the future. We will analyze the premises under which U.S.-Japan, Japan-China and U.S.-China relations will operate, enabling us to draft a proposal for a foreign policy strategy that maintains and strengthens Japanese interests within these various relationships.
In contrast to the 20th century, which was built on the dynamics of technology and finance in the U.S., Japanese and European markets, the 21st century is becoming multi-polarized as a result of the increasing power of the emerging markets, including Brazil, Russia, India and China. At the same time, global competition is shifting away from a manufacturing economy toward a service economy. This Institute will make recommendations on how American and Japanese companies should collaborate globally in the business environment of the 21st century, which requires a completely new strategy.
Although the world is shrinking as a result of information technology, one of the biggest issues in the globally competitive environment of the 21st century of multi-polarization and multi-nationalization is that misunderstanding occur frequently on a daily basis as a result of the cultural distance between countries. We will make recommendations as to how American and Japanese companies, which are the business leaders of the West and East, can merge Eastern and Western values within the context of the 21st century.
The new administration in the U.S. has asserted that it will be setting medium-range targets to reduce greenhouse gas emissions. We will investigate the specific policies used to implement those targets and their effects on the world economy and society, and specifically recommend details on potential collaboration between the U.S. and Japan.
It has been twenty-two years since the end of the Cold War, and ten years since 9/11. In that time, the world has been unable to establish a mechanism for guaranteeing safety suitable for the current era. The international terrorist threat has not been eliminated, the situation in Afghanistan and Iraq continues to grow more unstable, and the issue of nuclear weapons development in North Korea and Iran has yet to be resolved. China and India are on the rise, but there is still no will to construct international systems to deal with these issues. Obviously, there is a need to rapidly clarify what the U.S. and Japan should do.
It is essential to create international systems and agreements to resolve international issues, including guaranteeing safety, environmental and energy issues, food, poverty and human rights issues, the spread of infectious diseases, global warming and international terrorism. What role should the U.S. and Japan play in providing international systems that maintain world order?
If a new virus combining a human virus and bird flu were to break out, it would highlight the need for government officials throughout the world to work together to contain the virus. In such a situation, government officials would face the dilemma of safeguarding the lives of people throughout the world while allowing the people living in a particular country to move about freely. At the same time, it would be necessary to create an international system to contain the virus through international cooperation.
Compared to other industries, the pharmaceutical industry is associated with high costs and long-term research and development. In addition, there are various problems concerning legal systems for introducing generic drugs. We will make a proposal for supporting the transfer of intellectual property that can be handled globally based on the precedent set by the U.S., which has created a legal system for contending with the introduction of generic drugs.
2009 U.S.-Japan Research Institute All rights reserved.