ABSTRACT
The overall response of Japanese exporters to the rise of the yen was to cut costs rather than raise overseas prices . In fiscal 1986 , declining raw material (particularly oil) prices enabled them to recover a full 60 per cent of lost revenue , and they got back about 50 per cent of similar revenue in fiscal 1987 . Through a variety of other cost cutting measures, most of which were at the expense of their workers , they managed to limit the fall in the volume of their exports in 1986 to a mere 3 . 2 per cent . As far as the capitalist class was concerned , the endaka fuky6 bottomed in the last quarter of fiscal 1986 , and produc tion was once again on the rise in 1987 (JEJ, 15 August 1987 , p. 1 1 ; Keizai kikakucho , 1987a-1988a, p . 442) .
