W3&4 - The Japanese Economy Flashcards
When was emperor Meiji restored?
1870
Why is August 15th independence day for many countries in Asia?
Because this was the day Japan announced unconditional surrender
Why did Japan benefit from the Korean war?
It created enormous demand for Japanese products. The US military sourced their goods from Japan to fuel the war effort
When was the Edo period in Japan?
1603-1868
When was the Meiji restoration?
1853-1868
What happened during the Edo period?
Urbanisation and commerce developed leading to the collapse of the feudal system as trade increased, increasing the power of wealthy merchants relative to the samurai as they did not have as much money.
Why were merchants initially at the bottom of Japan’s feudal system?
This is the bottom largely due to Confucius culture as it neglected culture and trade. Influenced by Chinese cultural values
When did the Americans arrive and what did they do?
Western vessels were known as black ships and they demanded trade
When had the British and Portuguese been in Japan since?
The 1600s
What year was the Meiji restoration?
1868
What happened during the Meiji period?
- Japan began to industrialise setting up institutions such as a constitution, central bank and public infrastructure
- Zaibatsu emerged
- Rapid technological progress
- State run heavy industry to support military ambitions
What is Zaibatsu?
Family controlled corporate conglomerates which were vertical monopolies with their own banking and industrial subsidies. A holding company on the top controls all subsidiaries
What are some examples of Zaibatsu?
Nissan, Mitsubishi
What happened to Zaibatsu after WW2?
They were largely dissolved after WW2 during the US occupation
What were the Meiji liberal reforms?
Sweeping liberal reforms that allowed social and economic mobility:
- Removed the caste system and feudalism
- Internal trade became free
- Property rights established
- National banking system based on Americans established in 1882
- Entry to professions made available to anyone
Why was the loss of colonies after WW2 so significant to Japan?
Loss an enormous amount of productive capacity which held a lot of their foreign investments most notably in Manchuria
What percentage of the Japanese mercantile fleet was destroyed in WW2?
80%
How many Japanese casualties were there in WW2?
2.5 million
What reforms were imposed by the Americans during occupation?
- Dissolution of the zaibatsu
- Land reform
- Labour relations reform
- Liberal reforms
- New constitutions
- Education reform
What was the Japanese constitution influenced by?
The one introduced by the Meiji reforms was influenced by Germany but was replaced by American occupation to a US influenced one
What was the Dodge line?
Financial and monetary policy and economic reforms
What did the Dodge line involve?
- Liberalisation
- Wage & price control to reduce inflation and government debt,
- Efficient tax collection
- Fixing 360 yens per USD
What is the Yoshida Doctrine?
Reliance on the US protection and western economic ideals. This shaped Japanese foreign policy during the cold war.
What was the impact of the dodge line?
It induced stagnation, deflation and high unemployment in 1949 but enabled management to take charge of operating enterprises as well as restoring profitability and labour productivity in 1950-51
Why was the timing of the Dodge line important?
The timing could not have been better as it well prepared the economy to meet the large US demand for war materials in Korea
