Tohoku in rebuilding bubble

Money, workers having dramatic effect but no plans set for bust

City reborn: Wakabayashi Ward in the city of Sendai (top), which was hit hard by the March 11 tsunami and earthquake, is seen on Feb. 10, the day the Reconstruction Agency debuted in Tokyo. Below: Miyagi Gov. Yoshihiro Murai holds up a board displaying kanji spelling 'Wish for reconstruction' in January at the prefectural office in Sendai. | KYODO

By Eric Johnston
Staff Writer

Mar 27, 2012

As Tohoku struggles to rebuild from last year's quake and tsunami, money continues to pour into the region in the form of central government subsidies for cleanup, repair and reconstruction.

The result has been a reconstruction bubble providing a massive cash infusion to not only construction-related companies, but also local service industries. People from all over the country are moving into the region in search of work, although concern is growing that once the subsidies dry up, it could face a long and protracted slump.

The following are some questions and answers about the reconstruction boom in Tohoku.

TOHOKU BUBBLE

Tohoku in rebuilding bubble

Money, workers having dramatic effect but no plans set for bust

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