The Japanese economy has undergone significant turbulence over the past quarter century and now seems poised to get back on track. From a long-term perspective, the unprecedented demographic shift—an aging population with a diminishing number of inhabitants—poses a tremendous challenge to the economy. The harm that the country’s fiscal disarray will cause if left neglected is not yet palpable with investors who are seemingly content with holding large tranches of Japanese government bonds. Corporate Japan possesses clear advantages like cutting-edge technology and good labor relations, but issues such as low profitability and sagging entrepreneurship are its Achilles heel. Japan’s corporate sector and labor market have long been known for unique traditional practices such as the keiretsu, cross-shareholdings, and life-time employment, but these Japanese practices are now experiencing a major transformation. New issues such as the growing dualism in the labor force are gnawing at the country. The Japanese Economy—Then, Now, and Beyond provides an overview of the contemporary Japanese economy, explaining where Japan’s economy stands at present, the changes in the economy’s idiosyncratic features, and the challenges that lie ahead. A major feature of this book is the frequent references to the extent to which Japanese experiences and business practices differ from those in other major economies. This gives readers an international perspective when understanding the Japanese economy. While discussions in the book are based on standard economic theory and analyses, no formal economics training is presupposed. In fact, readers who routinely read economic and business news will find the whole text easy to comprehend without stumbling on technical analyses.