In this context, one might well ask why a country with one of the highest per capita GDP figures in the world and ample household savings totaling 1,300 trillion yen finds it difficult to revitalize domestic investment. This brings us to the third structural problem: the savings and investment imbalance. A.
Decline in Capital Productivity  It is rather ironic that as economic globalization progresses and cross-border capital movements become free, Japan has become an increasingly uncomfortable place for capital to stay because of its high level of capital accumulation.