The income doubling plan (jap. shotoku baiso keikaku was adopted 1960 by the Japanese cabinet under Ikeda Hayato. It was third adopted Japanese It should apply for 1965 to 1969, from the medium-term economic plan was however already replaced. A goal of the plan was the "“doubling of the national income"”, whereby with national income not the salary of the individual worker, but the gross domestic product was meant.

Head behind the plan was Shimomura Osamu (1910 - 1989), a Japanese economist, who was in a marxist manner coined/shaped like many Japanese colleagues of its time.

To be reached (and became) this should by a per-cyclic policy: although the Japanese economic situation already was in a strong growth phase, the so-called Iwato boom. 1958 and 59 the economic growth 10% amounted to. Nevertheless the government took up further national debt, in order to promote the economy with investments, in particular the heavy industry to develop and the Japanese infrastructure further. It succeeded to double important indices like the steel production within less. Reached profits were directly again invested from the industry to a very large portion, in order to hold high growth. The material economic growth lay in this period with on the average 10.9% (9% were planned), so that the goal of the doubling was even faster achieved.

The incomes of the Japanese remained thereby on low level which itself in the Slogan "“rich Japan - poor Japanese"” struck down. Only in the seventies that should change, also because 1971 the Bretton Woods system were dissolved and the Yen began to then rise gradually from its firm dollar rate from 1:360 to.

Afterwards the income doubling plan was strongly criticized by neokeynesianischen economists, evenly because of that per-cyclic policy. In the seventies the issuing bank had to increase the interest strongly, in order to cool down and for the Japanese government the repayment of the credits facilitate the overheated economy. In connection with the oil crisis 1973 this led to high inflation, why this phase was called also phase of the "“moved prices"”.

Articles in category "Income doubling plan"

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