When exactly did RPGs start getting divided into Japanese and Western again? What was wrong with traditional RPGs and Action RPGs? Suppose a Western developer makes an RPG in the style of the old Final Fantasy games - is it considered a "JRPG" even though it's not actually Japanese? If a Japanese dev made a game like The Elder Scrolls (which is an Action RPG), would that not be considered a "JRPG," even though it was made in Japan, simply because it doesn't have turn-based battle screens?
Honestly, this whole sub-dividing of genres is stupid. What's next, JFPS games? Are we gonna start putting the first letter of the country where a game was made in front of its genre all the time now? Is Metal Gear Solid JStealth, whereas The Twin Snakes is CStealth? The hell?
Actually .. it was "RPG", "console style RPG", "Action RPG", "Strategy RPG" as the four main types of RPG. The first one eventually came to be referred to as PC RPG's because that was where they largely made their home, was on computers and not consoles.
The few RPG's that made the crossover from computer to console got reduced considerably. Eye of the Beholder (NES), Pool of Raidance (NES), The Bard's Tale (NES), Might and Magic 2 (Gen), and others are all prime examples of the "reduction" of the RPG when making that transition. Then, FF7 (PS1) and FF8 (PS1) appeared on the PC, without any sort of reduction or "dumbing down".
Starting with the XBox, and then continuing into the PS3/XBox360 generation of consoles, RPG's, whether "console" or "PC" have appeared in almost identical versions on multiple platforms, including both consoles and PC. So people lost sight of the difference between RPG's on computers and RPG's on consoles, and in a desperate need to classify, started calling them WRPG and JRPG.
JRPG is not a real genre. Nor is WRPG. But, just as a lot of made up words become real words over time, so too shall WRPG and JRPG become real genres of RPG, replacing the Console and PC RPG genres. If, that is, people can agree whether the difference is where the game is made, or the style of the game. There are a ton of people willing to argue over that. Lots think it has to do with where the game is made (so an American version of Final Fantasy would be WRPG) but an equally large number of people think that it has to do with the style of the RPG (which were ALL created in America, rendering the difference moot, though neither side of that argument likes to hear that fact).