The Development of Quaternary Activities in Japanese Economy

Abstract

The present study contributes to the existing literature by measuring the quaternary sector and discussing its channels of development in Japanese economy over the periods from 1970-2008. The study uses disaggregated data from Japanese Industrial Productivity database, and finds significant role of quaternary activities in Japan economy. The evolution of quaternary sector is due to the rising degree of globalisation, adoption of new technologies, the demand for new items and other socioeconomic factors. The growth of quaternary sector in Japan is attributed to changing population structure and society, which demand for care and security activities. Also Japan is characterised by the predominate role of service sector and IT intensive economy, that requires development of education activities.