JAPAN NONINTEREST RATES RELATED INTERNATIONAL FINANCIAL SERVICES

Analysis of the nature of Japan's international financial services sho ws that while Japan-US international financial services are associated with product differentiation, Japan's overall trade in financial serv ices is a mixture of inter and intra trade. The empirical results of t he analysis of demand for Japan's international financial services rev eal that interest rates and the price of financial services are the ma jor contributors to growth in Japan's international financial services . The empirical results also show that, unlike foreign clients facing Japanese financial institutions, Japanese clients may turn away from f oreign financial institutions in the wake of a rise in the price of th eir financial products. (C) 1998 Elsevier Science B.V.