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Economy during the Edo Period

The Caste System and its impact on the Japanese economy: 
During the Edo period (also known as the Tokugawa period) the Tokugawa Shogunate made it impossible for citizens to move up with the Japanese caste system. In order to maintain social harmony. Many samurais and citizens who made up the warrior class moved to the Capital and towns of political significance. They leveraged their elite positions to land bureaucratic jobs. Poor farmers who constituted a majority of Japans population were restricted to only farming. This guaranteed a continuous revenue stream to the ruling class whose income was based on taxing the harvest of the poor.



Diagram of the Caste System

Impact of European Colonization on the Japanese Economy:
As the west was increasing its colonial presence in Asia. The Tokugawa Shogunate feared a cultural and military invasion of Japan by the west, The Tokugawa focused in particular on Catholic missionaries who had been crucial to the European colonization of South East Asia. The Tokugawa out of this fear issued the Sakoku edict of 1635 and expelled Missionaries from the country and forbade all practice of Christianity on Japanese soil. From 1633 onward the Japanese withdrew themselves from the world completely, Japanese citizens were prohibited from traveling to foreign countries and those already on non-Japanese territory were denied reentry into Japan. Communication and business with the outside world was conducted through carefully selected Chinese and Dutch merchants out of Dejima.



Japanese Economy after Isolation:
After isolation Japan experienced rapid economic growth during the late 17th century into the early 18th century. The Tokugawa Shogunate’s deliberate focus on farming led to increased levels of agricultural output.



A traditional Japanese farm

Although farming was booming, trade and the production of goods overtook agriculture by a large margin. This was a direct result of urbanization carried out by the Tokugawa in cities like “Edo, Osaka and Kyoto” as it looked to consolidate its powers at a central level. Business also flourished as social order was maintained by the Shogunate. The increases in the production of “fine silk and cotton fabrics, manufacture of paper and porcelain” lead to a consequential increase in transactions conducted by Japanese using these goods. “Whole sellers and exchange brokers” grew in numbers too.



Japanese porcelain and Japanese Silk

Japanese citizens also started using “currency and credit” in large amounts which gave them the power to invest in new ventures. This new Bourgeois also spawned a new category of literature and art based on their rise. In the later part of the 18th century the business sector continued to flourish while the agricultural sector floundered. The decline in farming output affected the revenue from the harvest tax which was used to Pay the samurais and the daimyos. With the warrior class's incomes on the decline and peasants already rebelling the Shogunate attempted to make changes to existing fiscal policy in the 1800’s but could not restore the samurai and Daimyo’s income to 17th century levels. The peasants and the Samurais eventually rebelled against the Shogun and restored emperors rule in all of Japan.

Articles to read:
Edo-Period Japanese Porcelain
Merchant Class in Japan

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Sources

= Azuma, E. (n.d.). Chapter 3 - Development of Japanese Farming Communities. Retrieved from http://www.discovernikkei.org/en/journal/2017/11/6/oregon-3/ Britannica, T. E. (2018, September 27). Meiji Restoration. Retrieved from https://www.britannica.com/event/Meiji-Restoration Britannica, T. E. (2018, June 05). Tokugawa period. Retrieved from https://www.britannica.com/event/Tokugawa-period Decorative Japanese Porcelain Bowls – 16 oz. (n.d.). Retrieved from https://www.rsvp-intl.com/product/decorative-japanese-porcelain-bowls-16-oz/ Description. (n.d.). Retrieved from http://www.cambriapress.com/cambriapress.cfm?template=4&bid=433 Economic history of Japan. (2018, September 21). Retrieved from https://en.wikipedia.org/wiki/Economic_history_of_Japan Iwakura Mission. (2018, November 06). Retrieved from https://en.wikipedia.org/wiki/Iwakura_Mission Kiprop, J. (2018, May 18). What Was The Japanese Economic Miracle? Retrieved from https://www.worldatlas.com/articles/

Economy During the Meiji Restoration

Overview of the Meiji Restoration: Japan began to industrialize throughout the Meiji period. The process of modernizing Japan was started by Meiji officials around the late 1800’s so that Japan could compete with Europe and America. The state apparatus was involved in massive infrastructure buildup which consisted of improving existing roads, improving the railways and embracing policies regarding land that would make future infrastructure improvements smoother. The Japanese government also started up a schooling system modeled after schools in Europe and America for Japanese citizens of school and college age, sent many Japanese youth to the west and invited thousands of Western foreigners to teach STEM and many other subjects in Japan. Many Japanese politicians referred to as the Iwakura Mission journeyed throughout Europe and the United States in 1871 looking for western concepts that would help the Japanese speed up industrialization. The conclusions reached by those who travelled