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Case 144 - The Reagan Administration, the Auto Producers, and the 1981 Agreement with Japan

Case 144 - The Reagan Administration, the Auto Producers, and the 1981 Agreement with Japan

  • $ 350


Reich, Simon

The 1981 Voluntary Export Restraint Agreement on the Japanese automobile industry placed a ceiling on the number of autos it exported to the United States. This case study shows how even the largest countries in the international economy must negotiate while constrained by domestic and systemic pressures. It also demonstrates the pedagogical value of having an independent way of deciding what constitutes a negotiated settlement.