Many in the U.S. worry about increasing tension among China, South Korea, and Japan because of the “history issue”. Junichiro Koizumi visited the Yasukuni Shrine annually during his tenure as prime minister of Japan, to express reverence for the collective spirit of those Japanese who died in the modern wars. China and South Korea strongly objected to those visits because a handful of Class-A war criminals convicted by the post-World War II International Tribunal for the Far East are also enshrined at Yasukuni. Amidst this apparent deepening political entanglement, however, business has gone on as usual in Northeast Asia. Masahiro Matsumura believes that the “history question” is epiphenomenal, that it is merely symptomatic of more fundamental issues. In his presentation he will explain why, and offer a forecast for the future.