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Japan's Economy

The Meiji Leap: Japan Modernises

How Japan went from a closed feudal society to an industrial power after 1868, and what made its catch-up so fast.

For over two centuries, Japan limited contact with the outside world. In 1853, American warships under Commodore Perry forced it to open to trade.

The Meiji Restoration

In 1868, a new government restored the emperor’s power and began rapid modernisation.

What changed

  • Feudal domains abolished and a central government created.
  • Land tax reform provided steady revenue.
  • Universal education, making Japan highly literate.
  • Railways, telegraphs and modern ports built.
  • Foreign experts hired and students sent abroad to learn Western technology.
  • State-founded factories later sold to private firms.

The zaibatsu

Large family-run business groups called zaibatsu, like Mitsui and Mitsubishi, grew into industrial giants.

Results

Within a few decades, Japan built modern industries in textiles, shipbuilding and steel, becoming the first non-Western country to industrialise.

The lesson

Strong state capacity, education and learning from abroad can speed up catch-up growth.

The silk mill

The government-built Tomioka silk mill, opened in 1872, used French machinery and trained young women who then spread the skills to mills across Japan.

Thinking Japan's rise began after World War II

Japan began industrialising after the Meiji Restoration in 1868.

Key takeaways
  • Japan opened to trade after 1853.
  • The Meiji Restoration of 1868 launched rapid modernisation.
  • Education, infrastructure and learning from abroad drove growth.
  • Japan became the first non-Western country to industrialise.
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