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Japan Spends Well on Defense


Article # : 15832 

Section : CURRENT ISSUES
Issue Date : 1 / 1989  2,627 Words
Author : James E. Auer
James E. Auer is director of the center for U.S-Japan Studies and Cooperation at the Vanderbilt Institute for Public Policy Studies, and research Professor of Public Policy at the George Peabody College, Vanderbilt University. From April 1979 until September 1988, he served as special assistant for Japan in the Office of the Secretary of Defense.

       To give a simplistic answer to the question, What does Japan spend on defense? could cause considerable misunderstanding. There are some in the United States who believe that Japan, which spends only about 1 percent of its gross national product (GNP) on defense while the United States spends almost 6 percent, is enjoying a free ride. Others, in Japan, believe that, rather than contributing to Japan's security and safety, Japanese defense cooperation with the United States results only in making Japan a target for Soviet aggression. Some critics say that Japan is entrapped in U.S. global strategy.
       
        Close examination shows neither of these extreme views to be correct. For although Japan does spend only slightly more than 1 percent of its GNP for defense, its economy is enormous. Japan's $2.5 trillion economy in 1987 is now clearly larger than the Soviet Union's $2.2 trillion. And Japan's economy will almost certainly continue to grow rapidly far into the foreseeable future. In 1988, Japan will spend about $30 billion for defense, making Japan's defense budget almost third in the world, drawing abreast or ahead of the United Kingdom, France, and West Germany. Given the fact that Japan's defense budget is likely to grow by about 5 percent in real terms in both 1989 and 1990, and that, using the standards of the North Atlantic Treaty Organization (NATO) countries in accounting for defense spending, Japan's budget may soon be as high as 1.5 percent of its GNP.
       
        The idea of Japan becoming the world's third largest military power frightens some Japanese and some of the populace of Japan's noncommunist trading partners in Asia as well as some Americans. However, third largest is still far, far removed from Japan's becoming a major military power; at third largest GNP, Japan is still only ahead of all the other countries except the two military superpowers, whose military spending dwarfs the others. Japan as No. 3 could double defense expenditures without assuming any threatening offensive capability.
       
        Quality, Not Quantity
       
        What is really important about Japan as No. 3 is that Japan is spending its limited defense resources extremely well in constructing a high-technology anti-invasion air-defense and antisubmarine network around its territory in the Northwest Pacific. This capability, backed up with U.S. strategic power in the Pacific that removes the threat of Soviet nuclear blackmail vis-à-vis Japan, significantly complicates Soviet military planning in the Pacific. Because of Japan's complement to U.S. power, Pacific
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