The U.S.-Japan relationship has emerged as the free world's most important bilateral relationship from the standpoint of economics and politics and increasingly security as well. Together, the two countries can make unparalleled contributions to global peace, stability and economic development. Operating independently, neither can successfully address the issues facing the future of the Pacific Basin community. Together and in cooperation they can have a major impact. The essays in this volume focus on the goals of putting reality into perspective and suggesting modest, but visionary, recommendations for the future. Contents: Formulating an American Agenda for Asia, by Robert A. Scalapino; A Japanese Agenda for Asian Politics and Security, Seizaburo Sato; The Economics of U.S.-Japan Relations in the Asia-Pacific Region, by Edward Lincoln; Reorienting the Japanese Economy for the Future, by Yutaka Kosai; and Japanese-American Defense Policies for a Post-Reagan Era, by John Endicott. Co-published with the Pacific Forum.