The History Of Japanese Economic Development. Origins of Private Dynamism and Policy Competence

Description

This is an easy-to-read book that explains how and why Japan industrialized rapidly. It traces historical development from the feudal Edo period to high income and technology in the current period. Catch-up industrialization is analyzed from a broad perspective including social, economic and political aspects. Historical data, research and contesting arguments are amply supplied. Japan’s unique experience is contrasted with the practices of today’s developing countries. Negative aspects such as social ills, policy failures, military movements and war years are also covered. Nineteenth-century Japan already had a happy combination of strong entrepreneurship and relatively wise government, which was the result of Japan’s long evolutionary history. Measured contacts with high civilizations of China, India and the West allowed cumulative growth without being destroyed by them. Imported ideas and technology were absorbed with adjustments to fit the local context. The book grew out of a graduate course for government officials from developing countries. It offers a comprehensive look and new insights at Japan’s industrial path that are often missing in standard historical chronicles. Written in an accessible and lively form, the book engages scholars as well as novices with no prior knowledge of Japan. The History of Japanese Economic Development- Front Cover The History of Japanese Economic Development Title Page Copyright Page Contents List of figures List of tables List of boxes Introduction Chapter 1: An overview: evolutionary history and translative adaptation Domestic society and external forces Translative adaptation Why Japan could succeed A brief history of Japan Notes Chapter 2: The Edo society: preparing conditions for industrialization The Edo period: 1603–1867 Features of the bakufu-han system Agriculture Budget and money Transportation and commerce Industrial promotion Education Notes Chapter 3: Transition from Edo to Meiji The opening of ports and the fall of the Bakufu The flexible structure of transition politics The Meiji government and its goals Industrialization The constitution and parliamentary government Foreign policy Notes Chapter 4: Importing and absorbing technology Meiji industrialization The macroeconomy and industrial development International trade How Western technology was transferred Labor market Hybrid technology Notes Chapter 5: Development of key industries Silk industry Traditional cotton industry Modern cotton industry The machinery industry Steel Railroad carriages and locomotives Shipbuilding and ocean transport Electrical machinery Notes Chapter 6: Budget, finance and the macroeconomy of Meiji The two wars Fiscal activism and postwar management Exchange rate policy Banking and capital markets Savings mobilization The role of external funds Chapter 7: World War I and the 1920s Impact of World War I Collapse of the bubble Development of heavy and chemical industries Emerging new zaibatsu Automobile production Exchange rate volatility Shidehara Diplomacy Notes Chapter 8: The banking crisis of 1927 Proliferation of Kikan Ginko The earthquake bill problem Illiquidity versus insolvency The initial wave of the banking crisis Suzuki Shoten and the Bank of Taiwan The BOJ demands government guarantee The consequences of the banking crisis Note Chapter 9: The 1930s and the war economy The Showa Depression, 1930–32 Social instability and the rise of fascism The Seiyukai and the Minsei Party Political terrorism and invasion of China The war economy, 1937–45 Collective social psychology: lessons from prewar Japan Notes Chapter 10: Postwar recovery 1945–49 Physical war damage Shortage and inflation The basic problems of 1946 Stopping inflation Priority Production System, 1947–48 US policy in occupied Japan Dodge Line stabilization of 1949 Notes Chapter 11: The high growth era From devastation to high income Rationalization From politics to economics Reintegration into the world economy Macroeconomic management Private dynamism MITI and industrial policy Social transformation Notes Chapter 12: Economic maturity and slowdown The end of catching up The oil shocks of 1973–74 and 1979–80 Floating of major currencies Delayed systemic reform? Trade friction with the United States Fiscal expansion and consolidation—and expansion again Notes Chapter 13: The asset bubble and prolonged recession The occurrence of the asset bubble The Lost Decade Financial crisis and monetary policy Unstoppable fiscal activism Earthquakes Aging, labor shortage and widening gaps Abenomics Notes Questions and answers Bibliography Index