Investment (Savings) Elaborated—With Special Reference to Japan

National Accounts data tell us that the Japanese save approximately 20 per cent of Personal Disposable Income, versus a normal five to eight per cent in the United States, and that corporate earnings retained as a portion of earnings is higher in Japan than in most developed countries. But these data do not tell the full story. Many investments—education, quality circle activities, company-financed get-togethers—show up in National Income Accounts as expenses. Others—lifetime employment and personal and societal drives, for example—do not show up at all. A securities analyst, especially one who is interested investing in Japan, would do well to look beyond the numbers generated by accountants and computers.