Perverse Incentives Prevent Villages from Becoming More Economically Efficient
From first sight, Yomitan, on the northeastern coast of Okinawa's main island, is a rather odd village. Among the small plots of sugarcane fields are five or six-stories-tall apartment blocks that would not be out of place in any major city in the world. Instead of rustic local eateries, its coastal areas and main streets are lined with luxury resorts and high-end restaurants that cater to holidaymakers from across Japan and the world beyond. With so many guesthouses and shops in the village, it is difficult to imagine anyone actually making a living doing anything related to farming.