Crisis in Japan could have some affect on the U.S and it's economy.

Following the devastating earthquake that struck Japan so did the temporary shutdown of many Japanese companies and becuase of this some have speculated what this would mean for countries that are dependent on Japanese exports such as the U.S. Japan will have a serious effect on the U.S economy.

          Though the at the moment the crisis only seems to be effecting Japan, with many Japanese companies temporarily closed down the possibility of the U.S also seems very likely. Many American companies that use Japanese computers, cars and other electronic equpiment could experience a great deal of loss of productivity leading to loss of income and the cut back of wages seems very likely to compensate for that loss. Not only this but the crisis in Japan could lead to the rise of oil prices in the U.S, with nuclear power plants destroyed and causing havoc some such as Robert Madsen a Japan scholar and senior fellow at MIT's Center for International Studies speculates that this may cause a distrust in nuclear power as an alternative to oil.

Now, if the events in Japan discredit nuclear power globally, we'll see China and some of these other countries cut back on their investment in nuclear facilities, which translates directly into much stronger demand for oil. So one of the things I would be worried about is that oil prices, which have been going up, are likely to go up significantly more. But I think we're all going to pay a lot more at the pump

       It is true that my argument rests on the assumption that the U.S couldn’t buy the electronic equipment it needed from other countries, at least long enough for Japanese goods to start being distributed again.“ In reality, most of the stuff you get, that kind of thing comes from China," says Kiplinger's Robert Frick quoted by Stephanie Wilson writer of WUSA9 news. It is true that if in a real pinch America could still turn to it’s other trading partners for electronics and car parts if needed, but the crisis in Japan will still have negative effects on American economy despite this.

Even if Japan is able to fix itself in the next couple of years or so the damage is already done, with the Japanese crisis came sudden fall of the U.S dollar, “the Japanese yen rose to historic levels against the U.S. dollar on expectations the country would need to spend huge amounts of its currency to rebuild.” Write the author’s of the Houston Chronicle newspaper. The sudden rise in value of yen came the critical rise in price of almost all Japanese goods.

Though the U.S is not suffering like the unfortunate people of Japan there is still an expectation of hardships to come it's way becuase no matter indirectly or directly, whether through the lack of imported goods or the rise of oil prices the U.S economy is sure to feel the economical affects of this tragedy.