World War I and the 1920s: export-led boom and bust

WW1 & 1920s: "At present, there is clearly a global movement toward solving all international issues through understanding and cooperation among concerned powers, and not by narrowly self-serving policies, excessive use of militarism or interventionism. ... Japan is no longer permitted an isolated and independent existence in the Far East, interested only in its own affairs. As a major member of the League of Nations, Japan now bears a heavy responsibility for promoting world peace and happiness of the human race. Japan must participate in the discussion of all these important issues, even if they have only indirect influence on Japan's own interest. The fact that Japan must bear such responsibilities is beyond the question; it is necessitated by the force of history. The great progress of history is making us to take up these responsibilities."

But the Japan-US relationship gradually deteriorated due to the problem of Japanese immigrants on the US Pacific coast (California, Oregon and Washington). Because Japanese (and to some extent Chinese) immigrants worked too hard and had different cultures, they were discriminated against by Americans. Their schools were segregated, their freedom was restricted, and finally their property was confiscated. The Japanese government agreed to stop sending new immigrants to the US but demanded fair treatment of the Japanese already there. This issue soured the bilateral relationship.

After WW1 the exhaustion from a Y-Ro war of attrition led to more cooperation and attention to I-O international law. However there was still Oy-R distrust between races, the Japanese were seen as oy predatory immigrants when often they were more Iv winning by being more competitive than other Americans.