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Being the most homogeneous country on earth, you'd think they're racist. But I do think their reserve and stoicism are what make some people think they are racist. For example, you board a train and sit next to a Japanese (of course), they seem to instinctively turn away from you. I've been to Japan only on short stays and I didn't notice any overt dislike for foreigners.
And yes, it is very expensive to live lthere. Tokyo is among the most expensive cities in the world.
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