Political Stories – Japan – An economic role-model

World War II
On August 6, 1945, the Japanese city of Hiroshima was devastated by the dropping of an atomic bomb, designed to force the country to surrender and bring the Second World War to an end. Three days later, a second bomb was dropped on the city of Nagasaki. The bombings have become symbols of the horrors of war and a reminder of how the world - and Japan - has moved on since those years of global conflict. To remember the anniversary, we look back at the end of WWII and the key moments in Japan's postwar recovery.
During the Potsdam Conference, the US, USSR and UK met to discuss the Second World War and its aftermath following Nazi Germany's surrender. As a result, the Potsdam Declaration was delivered to the Japanese government. It called for Japan's unconditional surrender and warned of 'prompt and utter destruction' in the case of noncompliance.
Japan's leadership ignored the Potsdam Declaration. As a result, US President Truman authorised the first aggressive use of the country's newly developed atomic bomb. The cities of Hiroshima and Nagasaki were selected as targets and B-29 bomber the Enola Gay was selected for the mission, code-named 'Operation Centerboard I.' 

The Enola Gay released the atomic bomb known as 'Little Boy' over Hiroshima, flattening most buildings within the city. Between 40,000 and 80,000 were killed on the first day, with up to 200,000 dying as a result of injuries or radiation sickness over the coming months. Pictured, a reporter is seen standing amongst the ruins of the city. In the background is the iconic Genbaku Dome, now the centerpiece of the city's Peace Memorial Museum.


Post War Issues:
Between 1946-47, under American occupation, Japan adopted its postwar constitution. The nation's new set of fundamental principles included Article 9: an agreement that the people and state of Japan forever renounce war. This part of the constitution remained in force until July 2014, when a new interpretation was controversially adopted, allowing the use of force for self-defence.
Postwar Japan suffered from years of food shortages and hyper-inflation, but demand for goods and services was fuelled by the start of the Korean War, which was in part run through American military bases in Japan. This began to drive the economy towards industrialization and recovery at the start of the 1950s.
Six years after the end of the Second World War, on September 8, 1951, the final peace treaty was signed, formally ending both the war and the subsequent American occupation of Japan. Japan was forced to give up its colonies, and the US retained a strong military presence, but allowed Japan political sovereignty once again. The treaty entered into force on April 28,1952, allowing Japan to start to rebuild in earnest.
Come-back into world economy:
On February 1, 1953, the Japanese national public broadcasting organization NHK aired its first public television signal, heralding the dawn of a new era of information and personal consumption.
During 1955, Japan’s economy grew at a record 13 percent as it rushed to industrialize. Pictured on the left is a Japanese camera factory that year, while right shows a busy Toyko street. Just ten years earlier, Tokyo had been a wasteland after a series of Allied firebombing campaigns had burned most of the old city to the ground.
The Japanese people paid the price for rapid industrialization as pollution overwhelmed cities, countryside and coast. The Minamata disease was discovered in Kumamoto prefecture in 1956. Caused by mercury pollution of seafood, it led to a range of neurological effects and, in extreme cases, death.
On December 18, 1956, Japan joined the United Nations, signaling its return to the international stage. Japanese Foreign Minister Mamoru Shigemitsu addressed the UN General Assembly in New York: 'The people of Japan today desire peace for all time.'
In 1964 the Olympic Games were held in Tokyo - another sign of the country's growing rehabilitation. The same year, the first of Japan's iconic bullet trains was brought into service, boosting Japan’s image, infrastructure and commerce. Pictured, atomic bomb survivor Yoshinori Sakai, born in Hiroshima on August 6, 1945, carries the Olympic torch during the opening ceremony. Japan's 'economic miracle' slowly evolved through a combination of targeted investment and protectionism, before swtiching to exports and economic liberalism. By 1979, American sociologist Ezra Vogel (pictured above in June 1999) published his book Japan as Number One, examining how America could learn from Japan. For much of the 1980s, Japan's economy was the envy and model of the industrialised world.
Abenomics:
Japan's miracle ended abruptly at the start of the 1990s. Property prices, among other assets, had reached such high levels that a crash became all but inevitable. During 1990, the Nikkei stock index and yen both fell in value by more than half. The economy has never fully recovered from that crash, with Japanese people later dubbing this period 'the lost decades.' In late 2012, Prime Minister Shinzo Abe began his reflationary “Abenomics” policies to kick-start Japan’s economy. Combining efforts to drive down the value of the yen to increase exports, higher taxes to fund public investment, and efforts to stabilise inflation, the impact of Abe's reforms is as yet unclear. However, if Abenomics can turn Japan's fortunes around once again, expect to see many more countries try to copy its success - just as they did during the years of the economic miracle.