Developing History of Private Railway in Japan and Its Lesson to China′s Urban Railway Construction

This study aims to point out the successes of private railway in Japan and offer theoretical and actual evidences for China to develop its private railway in the context of its market economy and approval of private ownership.The authors analyze the history of Japan's private railway and review its financial and management systems.It is found that urbanization induces enough market for urban railway and private railway could make success during urbabization.It is pointed out that government support and multiple businesses are necessary for private railway to develop and compete with motorization.Finally, by referring to Japan's experience, some suggestions for China to develop its private railway are presented.