Liberalization of the Japanese Financial Service Trade and the Impacts on Economic Growth

The liberalization of financial service trade has played an important role in the development of the Japanese chemical industry and electronic information industry.Using the Japanese data of 1985-2008,this study measures the degree of the Japanese liberalization of financial service trade,and estimates its absorption of human capital and technology as well as its impacts on economic growth.We find that the degree of liberalization of financial service trade is positively associated with growth and the absorption speed of human capital and technology.