Overpopulated? Not in Japan!

There's this LifeSite report that Japan is facing a population crisis: it's starting to go down and their economy is threatened. Not enough people means not enough tax revenues and not enough manpower to keep their industries and commerce going. According to this Washington Post report (2005-03-03), more than 2,000 schools have closed and 63,000 teachers have lost their jobs over the last 10 years, and they expect to subsequently close 300 schools each year. Businesses are also affected, with 90 theme parks for children closing so far. What the story doesn't say is why Japan's replacement birth rate is only at 1.3. They don't have a one-child (per family) policy like China does. So what gives?