The Lewisian Turning Point and International Migration: The Case of Japan

Abstract

This article critically examines the Lewisian turning point in light of Japan's experience since the mid-1800s. Japan reached its Lewisian turning point around 1960. Contrary to the assumptions of the theory however, the findings for Japan indicate that political factors have been more determinative of the rate of migration than purely economic ones. Prior to its turning point in 1960, international relations, war and forced repatriation were the decisive factors. Recently, though the inflow of foreign workers to fill labor shortages has increased, so also has the outflow of Japanese to accompany direct foreign investment. DFI itself is more responsive to trade barriers, exchange rates and incentives offered by host governments than to differing wage levels or labor market conditions.