Building a New Economy: Japan's Digital and Green Transformation

by D. Hugh Whittaker

Overview

Japan is attempting to build a new economy. It goes by various names, such as 'Society 5.0', 'sustainable capitalism', and 'new form of capitalism'. It is to be constructed through digital and green transformation, and a 'virtuous cycle of growth and distribution'. The effort faces strong headwinds, including demographic decline and ageing, Japan's external energy dependence and geopolitical turbulence, and the legacies of Japan's 'lost decades'. Nonetheless, since 2015 a path has been identified that steers between Big Tech market oligopoly on the one hand, and an overbearing state on the other. For others facing the same post-neoliberal, sustainability transformation challenges as Japan, this public-private coordinated building effort is noteworthy.

Building a New Economy uses an evolutionary conceptual framework of states-and-markets, organizations-and-technology, and institutional change. It shows how the institutional coherence of the manufacturing-centred postwar model broke down, and was followed by the ideological and institutional dissonance of the 'lost decades'. However, new institutional building blocks have been identified and (partially) assembled which could lead Japan towards a new model which is more open and adaptive. These blocks include a reconfigured developmental state, and new forms of coordination with and within the corporate sector, at times encompassing civil society.

Importantly, for a country that has favoured social stability over creative destruction, and has struggled with change, the path forward may require 'controlled dis-equilibrium' of institutions rather than tight coherence. 'Society 5.0' and the 'new form of capitalism' claim to be people-centred; making them so will be the crucial challenge.

Product Details

ISBN-13:	9780198893394
Publisher:	Oxford University Press
Publication date:	05/22/2024
Pages:	272
Product dimensions:	6.00(w) x 9.00(h) x 1.00(d)

About the Author

D. Hugh Whittaker, Professor in the Economy and Business of Japan, Oxford University

D. Hugh Whittaker is Professor in the Economy and Business of Japan, and Fellow of St Antony's College, University of Oxford. He is the author and co-author of books on Japanese corporate governance, technology and innovation management, employment, small firms, and entrepreneurship. He is also co-author of Compressed Development: Time and Timing in Economic and Social Development (Oxford University Press, 2020).

Table of Contents

Introduction: Can Japan Rise Again? 1. The rise and fall of the postwar economy2. Building and governing the digital economy3. The Green Economy4. Eco cities, smart cites and super cities: Spatial Society 5.05. Innovation and the shifting sands of industry6. Corporate governance, ESG and 'new capitalism'7. People, skills, and employment8. Beyond capitalism9. External dependencies and shifting global contexts10. Conclusion: Controlled dis-equilibrium

Editorial Reviews

"This is an exceptionally well-written book that is poised to become a keyreference for Japanese capitalism for decades to come. It offers a unique combination of first-hand sources and deep knowledge of Japan, paired with a theoretical framework that situates developments in a broader context. Whittaker demonstrates an impressive ability to move between macro andmicro levels, offering a comprehensive analysis that captures the complex interplay of movements and counter-movements. The resulting analysis is neither deterministic nor simplistic while maintaining an engaging readability. This is a highly significant work on Japan and Japanese capitalism, authored by a scholar at the height of his intellectual powers." — Sébastien Lechevalier, Social Science Japan Journal

From the Publisher