Japan had also become the second largest donor of foreign aid. 1990s By 1990 Japan's foreign policy choices often challenged the leadership's tendency to avoid radical shifts and to rely on incremental adjustments. Although still generally supportive of close ties, including the alliance relationship with the United States, Japanese leaders were well aware of strong American frustrations with Japanese economic practices and Japan's growing economic power relative to the United States in world affairs. Senior United States leaders were calling upon Japanese officials to work with them in crafting "a new conceptual framework" for Japan-United States relations that would take account of altered strategic and economic realities and changes in Japanese and United States views about the bilateral relationship. The results of this effort were far from clear. Some optimistically predicted "a new global partnership" in which the United States and Japan would work together as truly equal partners in dealing with global problems. Pessimists predicted that negative feelings generated by the realignment in United States and Japanese economic power and persistent trade frictions would prompt Japan to strike out more on its own, without the "guidance" of the United States. Given the growing economic dominance of Japan in Asia, Tokyo was seen as most likely to strike out independently there first, translating its economic power into political and perhaps, eventually, military influence. Still, the image of Japan as a "military dwarf" was in a sense ironic, as Japan had one of the biggest defense budgets in the world throughout the 1980s and 1990s and defense expenditure is one of the most frequently used indicators of military power. It also had very advanced naval and air self-defense capabilities. The collapse of the Soviet Union and the growing preoccupation of its former republics and the East European nations with internal political and economic problems increased the importance of economic competition, rather than military power, to Japan. These formerly communist countries were anxiously seeking aid, trade, and technical benefits from the developed countries, such as Japan. The power of Japan's ally, the United States, was also seen by many as waning. The United States was forced to look increasingly to Japan and others to shoulder the financial burdens entailed in the transformation of former communist economies in Eastern Europe and other urgent international requirements that fall upon the shoulders of world leaders. Japanese industries and enterprises were among the most capable in