(Role of Education in Economic Development in

Japan)

Reported by:Ms. Rachelle J. Prado

The contributions of education in achieving the modernization of the country since the Meiji Restoration (1868), might be evaluated from various points of view. 

The Meiji Restoration ( 明治維新 , Meiji Ishin?), also known as

the Meiji Ishin, Renovation, Revolution, Reform, or Renewal, was a chain of

events that restored practical imperial rule to Japan in 1868 under

Emperor Meiji.

Recently, the interests of countries abroad have been centered on the role of education in achieving the economic development of Japan.  

The first point – was the economic reconstruction after World War and the prosperity that followed in Japan. 

The remarkable recovery from the economic losses suffered from the war and the following spectacular economic growth in this country as well as in West Germany is deemed as the miracle in the current world. 

It is said that this economic development has mainly depended on such human factors as knowledge and talents which had been accumulated since pre-War periods. 

And such accumulated knowledge and talents are no doubt the very results of education in the past. 

The first point stated that the unexpectedly rapid revival from the socio-economic collapse following World War, and the following prosperity in Japan resulted largely from the accumulated efforts of pre-War education.  

The second point – to be mentioned is the fact that Japan is included among such countries as Canada, West Germany, Israel, the U.S.S.R. and the U.S.A. which have achieved exceedingly rapid economic growth through this century. 

The second points mentioned that Japanese education had successfully met the needs of industries which had developed on the bases founded in an earlier period.  

The third point – noted from comparison with other countries concerning the role of education in achieving economic development in Japan, is the overcoming of disadvantages by the introduction and diffusion of a modern educational system during the so-called ‘take-off’ period. 

Education in early Meiji Era, as the third point, supported the foundation on which the modern Japanese economic system was created, rather than contributing directly to economic growth. 

In other words, the diffusion of elementary education raised the quality of the people’s skills, modernized their thought, and made it

political, social and cultural factors undoubtedly contributed to the economic growth of this country, but the effects of these factors varied between countries in both kind weight. 

The countries mentioned achieved rapid economic growth, however, have one factor in common: namely, the important role of their educational institutions. 

Further, it should be noted that the educational system of such countries were modernized ones intentionally and strongly orientated toward technological progress and economic development. 

Japanese modern education also had been developed. 

Japan now is approaching the economic level of developed Western countries,  in advance of other Asian-African countries, despite beginning modernization of society and industry later than the European countries, her overcrowded population and her very scarce natural resources. 

Like Japan in Asia, Denmark in Europe is mentioned as a country which overcame such disadvantages of underdeveloped status, overcrowded population and scarcity of natural resources. 

A common basis for the economic development of Denmark and Japan has been the introduction of a modern educational system, especially the spread of general elementary education to farm families who constituted the major part of the labor force beginning period of modernization.

Thus, the role of education in achieving economic development in this country should be attributed to the effort of the people who had restricted consumption and invested the money thus saved in education. 

That the rate of educational expenditures to national income in Japan was among the highest in the world substantiates this statement.  

• Japan has overcome many of the structural problems that hindered growth during the decade following the collapse of the asset price bubble in the early 1990’s, helping it to achieve a sustained expansion led by domestic demand. Although robust economic growth is projected to continue through 2007, Japan must address a number of problems to sustain the expansion over the medium term. The five key challenges are:

1. Ensuring a definitive end to deflation ender a new monetary policy framework;

2. Achieving fiscal consolidation in the context of high public debt and rapid population ageing;

3. Addressing rising income inequality and poverty while reducing government spending;

4. Boosting productivity growth by upgrading the innovation system, focusing on the R&D framework, product market competition and the education system, and

5. Strengthening the integration of Japan in the world economy to benefit more fully form globalization.

THANK YOU!