Host Nation Support Economic Benefit for Japan?--A Case of Okinawa

Abstract

This paper deals with pros and cons of keeping United States Forces in Japan (USFJ) including the Host Nation Support or OMOIYARIYOSAN from the Japanese economic viewpoint. It argues that there are some advantages of having USFJ in the neighborhood. However, there are more problems than the benefits to host USFJ in your local area. The local governments face a dilemma, which means that the municipal governments want to receive subsidies for promotion of their economy in exchange for hosting US bases, but are concerned about crimes, environmental destruction, and accidents. The paper argues that economic development takes place in many places after the sites of the US bases were returned to Japan. Therefore, the paper indicates that there is a possibility of new industry in Okinawa without USFJ and bases.