Theoretical and Empirical Analysis of the Japanese Distribution System

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This research established a new framework of analysing the distribution system in Japan in which (1) the mechanism operating inside the system is explained in the first principles of economics, but at the same time (2) the idiosyncratic characteristics of the Japanese system are highlighted. Thus, this research went beyond previous ones which simply reported details of trading practices and other phenomena instead of explaining them. The basic results of this research were summarized in a book, "The Distribution System in Japan," published by the University of Tokyo Press.This book consisted of four parts ; empirical studies about the present state of the Japanese distribution system, theoretical analysis of idiosyncratic characteristics of ten found in the system, investigation about government regulations, and analysis of impact of revolutionary developments in information technology. The results showed th the Japanese distribution system was developed as a rational response producers and traders to a rapid economic growth of Japanese economy However, from the viewpoint of social welfare, the performance of the panese distribution system was far from satisfacTory.