Development

The country of Japan is an interesting study in isolation geography and economic development. For centuries, shogun lords and samurai warriors ruled Japan, and Japan’s society was highly organized and structured. Urban centers were well planned, and skilled artisans developed methods of creating high-grade metal products. While agriculture was always important, Japan always existed as a semiurban community because the mountainous terrain forced most of the population to live along the country’s coasts. Without a large rural population to begin with, Japan never really experienced the rural-to-urban shift common in the rest of the world. Coastal fishing, always a prominent economic activity, remains so today. The capital city of Tokyo was formerly called Edo and was a major city even before the colonial era. Japan developed its own unique type of urbanized cultural heritage.

Encounters with European colonial ships prompted Japan to industrialize. For the most part, the Japanese kept the Europeans out and only traded with select ships that were allowed to approach the shores. The fact that European ships were there at all was enough to convince the Japanese to evaluate their position in the world. During the colonial era, Britain was the most avid colonizer with the largest and best-equipped navy on the high seas. Britain colonized parts of the Americas, the Middle East, Africa, South Asia, and Australia and was advancing in East Asia when they encountered the Japanese. Both Japan and Great Britain are island countries. Japan reasoned that if Great Britain could become so powerful, they should also have the potential to become powerful. Japan encompassed a number of islands and had more land area than Britain, but Japan did not have the coal and iron ore reserves that Britain had.

Around 1868, a group of reformers worked to bring about a change in direction for Japan. Named after the emperor, the movement was called the Meiji Restoration (the return of enlightened rule). Japanese modernizers studied the British pattern of development. The Japanese reformers were advised by the British about how to organize their industries and how to lay out transportation and delivery systems. Today, the British influence in Japan is easily seen in that both Japanese and British drivers drive on the left side of the road. The modernizers realized that to compete on the high seas in the world community they had to move beyond samurai swords and wooden ships. Iron ore and coal would have to become the goods to fuel their own industrial revolution. Labor and resources were valuable elements of early industrialization in all areas of the world, including Asia.

Figure 10.27 Japan was a major colonial power in the Asian Pacific Rim. Japan colonized parts of Russia, China, Taiwan, Philippines, Southeast Asia, and Korea. 

Japan began to industrialize and build its economic and military power by first utilizing the few resources found in Japan. Since it was already semiurban and had an organized social order with skilled artisan traditions, the road to industrialization moved quickly. Japan needed raw materials and expanded to take over the island of Formosa (Taiwan) and the Korean Peninsula in the late nineteenth and early twentieth centuries. Japan was on its way to becoming a colonial power in its own right. They expanded to take control of the southern part of Sakhalin Island from Russia and part of Manchuria (Northeast China) from the Chinese. Japanese industries grew quickly as they put the local people they subjugated to work and extracted the raw materials they needed from their newly taken colonies.

Figure 10.28  This photo, taken after the atomic bomb blast of World War II in 1945, illustrates all that was left standing of a Shinto shrine in Nagasaki.   Pingnews.com – Public Domain: Shinto Shrine in Atomic Ruins, Nagasaki – CC BY-SA 2.0.

 The three-way split in China revealed that the Japanese colonizers were a major force in China even after the other European powers had halted their colonial activities. Japan’s relative location as an independent island country provided both quick access to their neighbors and also protection from them. By World War II, Japan’s economic and military power had expanded until they were dominating Asia’s Pacific Rim community. The Japanese military believed that they could invade the western coast of North America and eventually take control of the entire United States. Their attack on Pearl Harbor, Hawaii, in 1941, was meant to be only a beginning. History has recorded the outcome. The United States rallied its people and resources to fight against the Japanese in World War II. The Soviet Union also turned to fight the Japanese empire. The end came after atomic bombs, one each, were dropped by the United States on the Japanese cities of Hiroshima and Nagasaki. The terms of Japan’s surrender in 1945 stipulated that Japan had to give up claims on the Russian islands, Korea, Taiwan, China, and all the other places that they had previously controlled. Japan also lost the Kurile Islands—off its northern shores—to the Soviet Union. The islands have never been returned. Japan offered Russia an enormous amount of cash for them but the matter remains unresolved. The Kurile Island chain continues to be controlled by Russia. Japan also agreed not to have a military for offensive purposes. Japan was decimated during World War II, its infrastructure and economy destroyed.

Economic Growth

Since 1945, Japan has risen to become Asia’s economic superpower and the economic center of one of the three core areas of the world. Japanese manufacturing has set a standard for global production. For example, think of all the automobiles that are Japanese products: Toyota, Honda, Mitsubishi, Subaru, Nissan, Isuzu, Mazda, and Suzuki. How many Russian, Brazilian, Chinese, or Indonesian autos are sold in the United States? The term “economic tiger” is used in Asia to indicate an entity with an aggressive and fast-growing economy. Japan has surpassed this benchmark and is called the economic dragon of Asia. The four economic tigers competing with Japan are Singapore, Hong Kong, Taiwan, and South Korea. Japan came back from total devastation in 1945 to become a world economic superpower.

Japan’s recovery in the last half of the century was remarkable. If an island nation like Japan could accomplish this rapid growth in its economy, why couldn’t other similar-sized countries accomplish the same level of growth? What was it that caused the Japanese people to not only recover so quickly but rise above the world’s standard to excel in their economic endeavors? The answer could be related to the fact that Japan already had an industrialized and urbanized society before the war. The United States did help rebuild some of Japan’s infrastructure that had been destroyed during World War II—things like ports and transportation systems to help bring aid and provide for humanitarian support. However, the Japanese people were able to not only recover from the devastation of World War II but rise to the level of an economic superpower to compete with the United States. Japan used internal organization and strong centripetal dynamics to create a highly functional and cohesive society that focused its drive and fortitude on creating a manufacturing sector that catapulted the country’s economy from devastation to financial success.

Figure 10.29 Timeline of Japanese Development

The same dynamics can be applied to Germany after World War II. Germany was completely destroyed by the war. The Allied powers decimated Germany’s infrastructure and resources. Today, Germany is the strongest economy in all of Europe. Part of the reason Germany came back to become so economically successful was its industrialized and urbanized society. Germany also was able to access resources. Again, think of all the automobiles that are German products: Mercedes, Volkswagen, Porsche, BMW, and Audi. The pattern of economic growth was similar for Germany and Japan. The loss of colonies after World War II prompted Japan to look elsewhere for its raw materials. Extensive networks of trade were developed to provide the necessary materials for the rapidly growing manufacturing sector. The urbanized region around Tokyo, including the cities of Yokohama and Kawasaki, swelled to accommodate the growth of industry. Japan’s coastal interior has a number of large cities and urban areas that rapidly increased with the growing manufacturing sector.

The basis for Japan’s technological and economic development may be related to its geographic location and cultural development. Japan’s pattern of economic development has similarities to the patterns of other Asian entities that have created thriving economic conditions. Hong Kong and Taiwan are both small islands with few natural resources, yet they have become economic tigers. Taiwan exports computer products to the United States, but Russia, with all its natural resources, millions of people, and large land area, does not. Explaining how or why countries develop at different rates can be complex, because there may be many interrelated explanations or reasons. One element might be centripetal cultural forces that hold a country together and drive it forward. The ability to manage labor and resources would be another part of the economic situation. The theory of how countries gain wealth may shed some light on this issue. Japan used manufacturing as a major means of gaining wealth from value-added profits. This is the same method the Asian economic tigers also developed their economies. Japan developed itself into a core economic country that took advantage of the peripheral countries for labor and resources during the colonial era. Japan took advantage of every opportunity that presented itself to become a world manufacturing center.

Modern Japan

Japan is a homogeneous society. In 2010, all but 1 percent of the population was ethnically Japanese. Japan resembles a nation-state, where people of a common heritage and aspirations hold to a unified government. This provides a strong centripetal force that unites the people under one culture and one language. However, religious allegiances in Japan vary, and there are a good number of people who indicate nonreligious ideologies. Shintoism and Buddhism are the main religious traditions. Shintoism includes a veneration of ancestors and the divine forces of nature. There is no one single written text for Shintoism; the religion is a loosely knit set of concepts based on morality, attitude, sensibility, and right practice. It is possible for a Shinto priest to conduct a wedding for a couple, whereas the funeral (hopefully taking place much later) for either of the spouses might be conducted by a Buddhist priest. The Buddhism that is practiced in Japan is more meditative in nature than mystical.

Modernization has brought new opportunities and problems for the Japanese people. With a highly urban and industrial society, personal incomes in Japan are high and family size is quite low, at about 1.2 children. The replacement level for a given population is about 2.1 children, which means Japan has a declining population. The population is aging and there are not enough young people to take entry-level jobs. The family has been at the center of Japanese tradition, and the elderly have been venerated and honored. As the country has become more economically developed, higher incomes for young people have prompted a shift toward convenience and consumer amenities. Consumer goods are available, but all the oil and about 60 percent of the food products have to be imported. During the off season, fruit, for example, is expensive. Beef is at a premium price, so fish is a staple source of protein. Income levels are high, but the cost of living in places like Tokyo is also quite high.

Japan is facing a labor shortage for many low-level service jobs that had traditionally been held by young people entering the workforce. Japan is an island country that has prided itself in being 99 percent Japanese. Countries in stage 5 of the index of economic development usually enter a negative population growth pattern. According to population statistics, Japan is at the start of a serious population decline, with a negative population growth pattern. While Western Europe and the United States also have a declining percentage of young people, in those countries the declining youth cohort has been replaced by an elevated level of immigration, both legal and illegal. Culturally, this is not an attractive option for Japan, but they are forced to address the labor shortage in any way they can. Their economy will depend on the ability to acquire cheap labor and resources to compete in the global marketplace.

As the economic dragon of Asia, Japan has had an enormous economic impact on the East Asian Community (EAC). The shortage of cheap labor has forced Japan to look elsewhere for new manufacturing ventures. China is an attractive country in this respect because of its substantial population and low standard of living for many of its citizens. Japan is looking to take advantage of its geographical location to establish a more positive trade situation with its Asian neighbors. The dynamics of its economy are uniquely similar to that of the United States and Europe. All three core economic areas are competing for inexpensive labor and resources to fuel their economies. China has been a major destination for manufacturing production because of its low labor costs and attractive financial incentives. If you recall, during World War II China and Japan were locked in a bitter war that caused harsh animosities to take root against each other. The two countries have not historically been friendly toward each other. Japan’s history as a colonizer has caused serious cultural attitudes against it from its Asian neighbors. Nevertheless, economics usually drive politics, and Japan wields enormous economic power. Japan now engages in trade with China and continues to be a core economic country in the global economy.

North Korea

The government of North Korea (Democratic People’s Republic of Korea, or DPRK) was formed with the leadership of Communist dictator Kim Il Sung, who shaped his country with a mix of Soviet and Chinese authoritarian rule. Having few personal freedoms, the people worked hard to rebuild a state. Using the threat of a US military invasion as a means of rallying his people, Kim Il Sung built up a military of more than one million soldiers, one of the largest in the world. People could not travel in or out of the country without strict regulation. North Korea existed without much notice until the 1990s, when things suddenly changed.

When the Soviet Union fell in 1991, North Korea lost a valued source of financial support and oil. Without fuel and funding, many of the factories closed. Unemployment rates rose significantly. Meanwhile, China adopted a more open posture and began to increase its level of trade with the West. The result was that China began to lose interest in propping up North Korea politically. North Korea was facing serious problems. Massive food shortages caused famine and starvation. Thousands of people died. Kim Il Sung died in 1994 and the country lost their “Great Leader.” He had ruled the country since World War II and in the end was deified as a god to be worshiped by the people.

Figure 10.32 This giant statue of North Korea’s “Great Leader” Kim Il Sung stands in the capital city of Pyongyang and is called the Mansudae Grand Monument. This mammoth bronze statue was built in 1972 to celebrate the Great Leader’s sixtieth birthday.                                                                   John Pavelka – Manusudae Grand Monument – CC BY 2.0. 

The government dictatorship continued as the Great Leader’s son, Kim Jong Il, took over the leadership role. Kim Jong Il, known as the “Dear Leader,” took repression of his people to new levels. Televisions and radios sold in North Korea can only receive government-controlled frequencies. Cell phones and the Internet are banned. The government takes a hard line against dissenters. If you are caught speaking against the state or taking any action to support dissent, you can be arrested, fined, placed in a prison camp, or executed. People are not allowed to leave or enter the country without government approval. Only a couple hundred tourists are allowed into the country per year and are closely escorted.

Kim Jong Il has taken hard measures to stay in power and to avoid yielding to the capitalist frenzy of corporate colonialism. He has nuclear weapon capability and has used his military weapons production as a bargaining chip against the United States and other world powers. North Korea has demonized the United States as the ultimate threat and has used state-funded propaganda to indoctrinate its people. North Korea’s government continually tells its people that the United States will invade at any minute and to be prepared for the worst. Propaganda has been used to create and enforce military, economic, and political policies for an ideology that supports the unification of all of Korea under Communist control.

North Korea is mainly mountainous; there is little quality farmland. While only 2 percent of the land is in permanent crops, about a third of the population works in agriculture. The best farmland in North Korea is located south of the capital city of Pyongyang. The capital is a restricted area where only the most loyal to the state can live. There is a serious shortage of goods and services. Electricity is not available on a dependable basis. Massive international food aid has sustained the people of North Korea. Outside food aid is accepted even though Kim Jong Il has continued a policy of self-reliance and self-sufficiency called Juche. Juche is designed to keep Korea from becoming dependent on the outside. The policy of Juche has been quite effective in isolating the people of North Korea and keeping dictator Kim Jong Il in power. The policy of Juche also holds back the wave of corporate capitalism that seeks to exploit labor and resources in global markets for economic profit.

Figure 10.33 A North Korean soldier looks across the DMZ in the Joint Security Area (left). The modern “63 Building” in Seoul, South Korea, stands as witness to the prosperity and advancements in the South Korean economy (right). Expert Infantry – Korean DMZ – CC BY 2.0; PhareannaH[berhabuk] – 63 building – CC BY 2.0.

One way that North Koreans are finding out about the outside world is through smuggled-in cell phones and VHS videotapes from South Korea. Popular VHS productions include South Korean soap operas, because of the common heritage, language, and ethnicity. The North Korean government has attempted to crack down on smuggled videotapes by going from home to home. Electricity is turned off before entering the home. Once the electricity is turned off, videotapes cannot be removed from the video player. The government agents then recover the videotape. Citizens found with smuggled videotapes are punished with steep fines or imprisonment. Desperate North Koreans have escaped across the border into northern China, where thousands of refugees have sought out better opportunities for their future. It is ironic to think that Communist China, with historically few human rights, would be a place where people would seek refuge, but China’s economy is growing and North Korea’s economy is stagnant, which creates strong push-pull forces on migration.

South Korea

In 1993, South Korea became a fully fledged democracy with its first democratically elected president. Seoul is the capital city and is home to almost ten million people. Seoul is located just south of the Cease-Fire Line, also known as the DMZ, which is referred to in general terms as the thirty-eighth parallel, even though it does not follow it exactly. The United States has many military installations in this area.

South Korea manufactures automobiles, electronic goods, and textiles that are sold around the world. South Korea is a democracy that has used state capitalism to develop its economy. After the World War II era, South Korea was ruled by a military government that implemented land reform and received external economic aid. Large agricultural estates were broken up and redistributed to the people. Agricultural production increased to meet the demands of the population. South Korea has much more agricultural production than North Korea and is therefore in providing food for the high population density. A once-modest manufacturing sector has grown to become a major production center for export trade.

The fifty million people who live in South Korea have a much higher standard of living than the residents of North Korea. Personal income in the north is barely equivalent to a few dollars per day, while personal income in the south is similar to that of Western countries. The economic growth of the south was a result of state-controlled capitalism, rather than free-enterprise capitalism. The state has controlled or owned most of the industrial operations and sold its products in the global marketplace. Giant corporations, which forced industrialization along the coastal region, have promoted South Korea as the world’s leading shipbuilding nation. South Korean corporations include Daewoo, Samsung, Kia Motors, Hyundai, and the Orion Group. As an economic tiger, South Korea continues to reform its economic system to adapt to global economic conditions.

South Korea has announced plans to conduct a comprehensive overhaul of its energy and transportation networks. Government funding will augment efforts to create more green-based initiatives. Part of this effort will focus on lower energy dependency with environmentally friendly energy developments such as wind, solar, bike lanes, and new lighting technologies. High-speed rail service and increased capacity in electronic transmissions lines are planned as part of a next generation of energy-efficient technologies that will increase economic efficiency. These policies have been enacted to update South Korea’s economy and create new products for manufacturing export.

Buddhism was introduced into the Korean Peninsula, as were many other aspects of Chinese culture that had significant effects on the Korean heritage. Buddhism has been a prominent religion in Korea for centuries. The teachings of Confucius are also widely regarded. About 30 percent of the population claims Christianity as their religious background; about 20 percent of the Christians are Protestant and 10 percent are Catholic. This is the highest Christian percentage of any Asian country. Up to half of the population makes no claims or professions of faith in any organized religion. Before 1948, Pyongyang was a notable Christian center. At that time, approximately three hundred thousand people identified as Christian. After the establishment of a Communist government in North Korea, many of the Christians fled to South Korea to avoid persecution.

Unification of North and South

What if North Korea and South Korea would become unified again? In the field of geography, there is a concept of regional complementarity, which exists when two separate regions possess qualities that would work to complement each if unified into one unit. North and South Korea are the classic illustration of regional complementarity. The North is mountainous and has access to minerals, coal, iron ore, and nitrates (fertilizers) that are needed in the South for industrialization and food production. The South has the most farmland and can produce large harvests of rice and other food crops. The South has industrial technology and capital needed for development in the North. If and when these two countries are reunited, they could work well as an economic unit.

Figure 10.34 Reunification Buddha in South Korea, Erected to Signify the Unity of the Korean People Paul B. – DSC_0105 – CC BY-NC-ND 2.0./p>

The harder question is how and under what circumstances the two Koreas could ever come to terms of unification. What about the thirty-five to forty thousand US soldiers along the DMZ? What type of government would the unified Korea have? There are many young people in South Korea that would like to see the US military leave Korea and the two sides united. The generation of soldiers that survived the Korean War in the 1950s understands the bitterness and difficulties caused by the division. This segment of the population is highly supportive of maintaining the presence of the US military on the border with North Korea. Unification is not likely to take place until this generation either passes away or comes to terms with unification. The brutal dictatorship of Kim Jong Il, with his claimed nuclear capabilities, has been a main barrier to unification. This is a political division, not technically a cultural division, even though the societies are quite different at the present time. The geography of this situation is similar to that of East and West Germany after World War II and during the Cold War. Korea may have different qualities from Germany, but unification may be possible under certain conditions, foremost being different leadership in the north.