James C. Abegglen

James C. Abegglen and Thomas M. Hout

Last year, the United States ran an eight billion dollar trade deficit with Japan, and this year the figure is running 50 percent higher. As a key component in the overall U.S. balance-of-payments deficit, a recurring irritant in U.S.-Japanese overall relations, and a significant factor in the decline of the dollar over the past year, the state of trade between the United States and Japan is now a critically important problem.