In 1603, after decades of civil warfare, the Tokugawa shogunate (a military-led, dynastic government) ushered in a long period of relative political stability and isolation from foreign influence. For more than two centuries this policy enabled Japan to enjoy a flowering of its indigenous culture. Japan opened its ports after signing the Treaty of Kanagawa with the US in 1854 and began to intensively modernize and industrialize. During the late 19th and early 20th centuries, Japan became a regional power that was able to defeat the forces of both China and Russia. It occupied Korea, Formosa (Taiwan), and southern Sakhalin Island. In 1931-32 Japan occupied Manchuria, and in 1937 it launched a full-scale invasion of China. Japan attacked US forces in 1941 - triggering America's entry into World War II - and soon occupied much of East and Southeast Asia. After its defeat in World War II, Japan recovered to become an economic power and an ally of the US. While the emperor retains his throne as a symbol of national unity, elected politicians hold actual decision-making power. Following three decades of unprecedented growth, Japan's economy experienced a major slowdown starting in the 1990s, but the country remains a major economic power. In March 2011, Japan's strongest-ever earthquake, and an accompanying tsunami, devastated the northeast part of Honshu island, killing thousands and damaging several nuclear power plants. The catastrophe hobbled the country's economy and its energy infrastructure, and severely strained its capacity to deal with the humanitarian disaster.

Eastern Asia, island chain between the North Pacific Ocean and the Sea of Japan, east of the Korean Peninsula

slightly smaller than California

varies from tropical in south to cool temperate in north

mostly rugged and mountainous

negligible mineral resources, fish

many dormant and some active volcanoes; about 1,500 seismic occurrences (mostly tremors but occasional severe earthquakes) every year; tsunamis; typhoons

air pollution from power plant emissions results in acid rain; acidification of lakes and reservoirs degrading water quality and threatening aquatic life; Japan is one of the largest consumers of fish and tropical timber, contributing to the depletion of these resources in Asia and elsewhere

strategic location in northeast Asia

126,475,664 (July 2011 est.)

7.31 births/1,000 population (2011 est.)

10.09 deaths/1,000 population (July 2011 est.)

0 migrant(s)/1,000 population (2011 est.)

TOKYO (capital) 36.507 million; Osaka-Kobe 11.325 million; Nagoya 3.257 million; Fukuoka-Kitakyushu 2.809 million; Sapporo 2.673 million (2009)

1.21 children born/woman (2011 est.)

less than 0.1% (2009 est.)

fewer than 100 (2009 est.)

urban: 100% of population

rural: 100% of population

total: 100% of population (2008)

urban: 100% of population

rural: 100% of population

total: 100% of population (2008)

Japanese 98.5%, Koreans 0.5%, Chinese 0.4%, other 0.6%

Shintoism 83.9%, Buddhism 71.4%, Christianity 2%, other 7.8%

a parliamentary government with a constitutional monarchy

47 prefectures; Aichi, Akita, Aomori, Chiba, Ehime, Fukui, Fukuoka, Fukushima, Gifu, Gunma, Hiroshima, Hokkaido, Hyogo, Ibaraki, Ishikawa, Iwate, Kagawa, Kagoshima, Kanagawa, Kochi, Kumamoto, Kyoto, Mie, Miyagi, Miyazaki, Nagano, Nagasaki, Nara, Niigata, Oita, Okayama, Okinawa, Osaka, Saga, Saitama, Shiga, Shimane, Shizuoka, Tochigi, Tokushima, Tokyo, Tottori, Toyama, Wakayama, Yamagata, Yamaguchi, Yamanashi

3 May 1947 (current constitution adopted as amendment to Meiji Constitution); notable earlier dates: 660 B.C. (traditional date of the founding of the nation by Emperor JIMMU); 29 November 1890 (Meiji Constitution provides for constitutional monarchy)

Birthday of Emperor AKIHITO, 23 December (1933)

civil law system based on German model; system also reflects Anglo-American influence and Japanese traditions; judicial review of legislative acts in the Supreme Court

accepts compulsory ICJ jurisdiction with reservations; accepts ICCt jurisdiction

20 years of age; universal

bicameral Diet or Kokkai consists of the House of Councillors or Sangi-in (242 seats - members elected for fixed six-year terms; half reelected every three years; 146 members in multi-seat constituencies and 96 by proportional representation) and the House of Representatives or Shugi-in (480 seats - members elected for maximum four-year terms; 300 in single-seat constituencies; 180 members by proportional representation in 11 regional blocs); the prime minister has the right to dissolve the House of Representatives at any time with the concurrence of the cabinet

House of Representatives - percent of vote by party (by proportional representation) - DPJ 42.4%, LDP 26.7%, NK 11.5%, JCP 7.0%, SDP 4.3%, others 8.1%; seats by party - DPJ 308, LDP 119, NK 21, JCP 9, SDP 7, others 16 (2009)

Supreme Court (chief justice is appointed by the monarch after designation by the cabinet; all other justices are appointed by the cabinet)

Democratic Party of Japan or DPJ [Naoto KAN]; Japan Communist Party or JCP [Kazuo SHII]; Liberal Democratic Party or LDP [Sadakazu TANIGAKI]; New Komeito or NK [Natsuo YAMAGUCHI]; People's New Party or PNP [Shizuka KAMEI]; Social Democratic Party or SDP [Mizuho FUKUSHIMA]; Your Party or YP [Yoshimi WATANABE]

ADB, AfDB (nonregional member), APEC, ARF, ASEAN (dialogue partner), Australia Group, BIS, CERN (observer), CICA (observer), CP, EAS, EBRD, FAO, FATF, G-20, G-5, G-7, G-8, G-10, IADB, IAEA, IBRD, ICAO, ICC, ICRM, IDA, IEA, IFAD, IFC, IFRCS, IHO, ILO, IMF, IMO, IMSO, Interpol, IOC, IOM, IPU, ISO, ITSO, ITU, ITUC, LAIA (observer), MIGA, NEA, NSG, OAS (observer), OECD, OPCW, OSCE (partner), Paris Club, PCA, PIF (partner), SAARC (observer), SECI (observer), UN, UNCTAD, UNDOF, UNESCO, UNHCR, UNIDO, UNMIS, UNRWA, UNWTO, UPU, WCO, WFTU, WHO, WIPO, WMO, WTO, ZC

white with a large red disk (representing the sun without rays) in the center

In the years following World War II, government-industry cooperation, a strong work ethic, mastery of high technology, and a comparatively small defense allocation (1% of GDP) helped Japan develop a technologically advanced economy. Two notable characteristics of the post-war economy were the close interlocking structures of manufacturers, suppliers, and distributors, known as keiretsu, and the guarantee of lifetime employment for a substantial portion of the urban labor force. Both features are now eroding under the dual pressures of global competition and domestic demographic change. Japan's industrial sector is heavily dependent on imported raw materials and fuels. A tiny agricultural sector is highly subsidized and protected, with crop yields among the highest in the world. Usually self sufficient in rice, Japan imports about 60% of its food on a caloric basis. Japan maintains one of the world's largest fishing fleets and accounts for nearly 15% of the global catch. For three decades, overall real economic growth had been spectacular - a 10% average in the 1960s, a 5% average in the 1970s, and a 4% average in the 1980s. Growth slowed markedly in the 1990s, averaging just 1.7%, largely because of the after effects of inefficient investment and an asset price bubble in the late 1980s that required a protracted period of time for firms to reduce excess debt, capital, and labor. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2010 stood as the third-largest economy in the world after China, which surpassed Japan in 2001. The Japanese financial sector was not heavily exposed to sub-prime mortgages or their derivative instruments and weathered the initial effect of the recent global credit crunch, but a sharp downturn in business investment and global demand for Japan's exports in late 2008 pushed Japan further into recession. Government stimulus spending helped the economy recover in late 2009 and 2010. Prime Minister KAN's government has proposed opening the agricultural and services sectors to greater foreign competition and boosting exports through free-trade agreements, but debate continues on restructuring the economy and funding new stimulus programs in the face of a tight fiscal situation. Japan's huge government debt, which exceeds 200% of GDP, persistent deflation, reliance on exports to drive growth, and an aging and shrinking population are major long-term challenges for the economy. A 9.0-magnitude earthquake and an ensuing tsunami devastated the northeast coast of Honshu Island on 11 March 2011, washing away buildings and infrastructure as much as 6 miles inland, killing thousands, severely damaging several nuclear power plants, displacing and leaving homeless more than 320,000 people, and leaving a million households without running water. Radiation leaks at the Fukushima Daiichai nuclear power plant prompted mass evacuations and the declaration of a no-fly zone - initially for people and planes within 12.5 miles of the plant but later expanded to 19 miles. Radioactive iodine-131 has been found as far as 100 miles from the plant in samples of water, milk, fish, beef, and certain vegetables, at levels that make these foods unfit for consumption and create uncertainty regarding possible long-term contamination of the area. Energy-cutting efforts by electric companies and train lines slowed the pace of business throughout Honshu Island, and the stock market gyrated, dropping as much as 10% in a single day. In order to stabilize financial markets and retard appreciation of the yen, the Bank of Japan injected more than $325 billion in yen into the economy. Estimates of the direct costs of the damage - rebuilding homes and factories - range from $235 billion to $310 billion. Some economic forecasters, who previously had anticipated slower growth for Japan in 2011, now believe GDP may decline as much as 1% for the year.

$4.31 trillion (2010 est.)

$4.146 trillion (2009 est.)

$4.424 trillion (2008 est.)

$5.459 trillion (2010 est.)

65.7 million (2010 est.)

20.3% of GDP (2010 est.)

225.8% of GDP (2010 est.)

217.6% of GDP (2009 est.)

0.3% (31 December 2009)

0.3% (31 December 2008)

1.6% (31 December 2010 est.)

1.65% (31 December 2009 est.)

$5.712 trillion (31 December 2010 est.)

$5.206 trillion (31 December 2009 est.)

$16.46 trillion (31 December 2009)

$15.43 trillion (31 December 2008)

$16.39 trillion (31 December 2008 est.)

$13.32 trillion (31 December 2007 est.)

$3.537 trillion (31 December 2010)

$3.29 trillion (31 December 2009)

$3.22 trillion (31 December 2008)

rice, sugar beets, vegetables, fruit; pork, poultry, dairy products, eggs; fish

among world's largest and technologically advanced producers of motor vehicles, electronic equipment, machine tools, steel and nonferrous metals, ships, chemicals, textiles, processed foods

956.5 billion kWh (2009 est.)

858.5 billion kWh (2009 est.)

132,700 bbl/day (2009 est.)

4.363 million bbl/day (2009 est.)

380,900 bbl/day (2008 est.)

5.033 million bbl/day (2008 est.)

44.12 million bbl (1 January 2010 est.)

3.539 billion cu m (2009 est.)

94.67 billion cu m (2009 est.)

90.29 billion cu m (2009 est.)

20.9 billion cu m (1 January 2010 est.)

$166.5 billion (2010 est.)

$141.8 billion (2009 est.)

$765.2 billion (2010 est.)

$580.8 billion (2009 est.)

transport equipment, motor vehicles, semiconductors, electrical machinery, chemicals

China 18.88%, US 16.42%, South Korea 8.13%, Taiwan 6.27%, Hong Kong 5.49% (2009)

$636.8 billion (2010 est.)

$501.6 billion (2009 est.)

machinery and equipment, fuels, foodstuffs, chemicals, textiles, raw materials

China 22.2%, US 10.96%, Australia 6.29%, Saudi Arabia 5.29%, UAE 4.12%, South Korea 3.98%, Indonesia 3.95% (2009)

$1.096 trillion (31 December 2010 est.)

$1.049 trillion (31 December 2009 est.)

$2.441 trillion (30 September 2010)

$2.053 trillion (31 December 2009)

$199.4 billion (31 December 2010 est.)

$199.9 billion (31 December 2009 est.)

$719.9 billion (31 December 2010 est.)

$740.4 billion (31 December 2009 est.)

yen (JPY) per US dollar -

44.364 million (2009)

114.917 million (2009)

a mixture of public and commercial broadcast TV and radio stations; 5 national terrestrial television networks including 1 public broadcaster; the large number of radio and TV stations available provide a wide range of choices; satellite and cable services provide access to international channels (2008)

54.846 million (2010)

99.182 million (2009)

gas 4,135 km; oil 171 km; oil/gas/water 53 km (2010)

1,770 km (seagoing vessels use inland seas) (2010)

Chiba, Kawasaki, Kobe, Mizushima, Moji, Nagoya, Osaka, Tokyo, Tomakomai, Yokohama

Japanese Ministry of Defense (MOD): Ground Self-Defense Force (Rikujou Jietai, GSDF), Maritime Self-Defense Force (Kaijou Jietai, MSDF), Air Self-Defense Force (Koukuu Jieitai, ASDF) (2011)

18 years of age for voluntary military service; Maritime Self-Defense Force mandatory retirement at age 54 (2011)

the sovereignty dispute over the islands of Etorofu, Kunashiri, and Shikotan, and the Habomai group, known in Japan as the "Northern Territories" and in Russia as the "Southern Kuril Islands," occupied by the Soviet Union in 1945, now administered by Russia and claimed by Japan, remains the primary sticking point to signing a peace treaty formally ending World War II hostilities; Japan and South Korea claim Liancourt Rocks (Take-shima/Tok-do) occupied by South Korea since 1954; China and Taiwan dispute both Japan's claims to the uninhabited islands of the Senkaku-shoto (Diaoyu Tai) and Japan's unilaterally declared exclusive economic zone in the East China Sea, the site of intensive hydrocarbon prospecting