Preferencias: Tendencia a permitir las diferencias individuales como edad, raza y sexo afectan las calificaciones de evaluación que reciben los empleados.

Like many of the political objectives included in SWNCC-150/4/A,

demilitarization was a fundamental objective of the occupation’s economic policy. The economic structure and practices of Japan were thought to be fundamental causes of Japanese aggression and belligerency. In terms of economic objectives, SCAP focused primarily on the production of military goods, the centralization of the economy, and militaristic industrial practices. The feudalistic Japanese economic system of the 1930’s

and 40’s featured underdeveloped markets, high rents, rapid urbanization, and cheap labor (Dobbins et al. 2003, Introduction). These conditions helped to foster militarism within Japanese cities and promoted economic aggression within Asia.

SCAP’s top priority in this regard was the implementation of labor reforms. These policies were designed to develop a functioning modern economy in Japan and repress militaristic practices. During the first stages of the occupation, SCAP and the Japanese government instituted bans on militaristic labor organizations formed during the war. As part of its greater democratization of the economy, SCAP encouraged the participation in labor unions through policy and rhetoric. Labor unions ultimately were considered strong forces in deterring future political aggression and authoritative government economic policy (Kawai 1960, 137).

The bulwark of SCAP’s economic policy regarding militarism focused on Japan’s industrial organization and the zaibatsu. Translated into English as financial clique, the

zaibatsu were massive family owned conglomerates that dominated the Japanese economy prior to the Pacific War. The growth of many of these conglomerates was tied directly to Japanese militarism and aggressive expansion in Asia. Four of these

conglomerates accounted for 25% of the industrial capital in Japan while ten

conglomerates accounted for 49% of industrial investment, 50% of all banking activity and 61% of Japan’s shipping industry (Takemae 2002, 314). SCAP’s initial policy proposal allowed the zaibatsu to dismantle themselves.

In response, the Yasuda company proposed that the zaibatsu dismantle their holding companies by selling shares and forcing family members to resign from their

positions within these companies. Known today as the Yasuda Plan, this proposal was self-serving and extremely lenient towards the controlling families. Nonetheless, SCAP agreed and issued SCAPIN-244 (Dissolution of Holding Companies). Responding to the objections of the State Department and the Truman administration, SCAP implemented SCAPIN-244 more aggressively than initially intended and advocated stricter policies regarding the partial dissolution of the zaibatsu (Takemae 2002, 297).

Ultimately, the zaibatsu remained extremely powerful and held a prominent role in the economy after the occupation. Through the Yasuda and SCAPIN-244, the

prominent families controlling these conglomerates were able to selectively sell their shares to close friends and distant relatives. This process gave a semblance of

disillusionment when in reality these families were able to retain much of the controlling interest in these companies (Dobbins et al. 2003, 15). Prominent former conglomerates of the zaibatsu, such as Mitsubishi, continue to place significant pressure on the Japanese political system.

SCAPIN-244 did, however, limit the zaibatsu’s role in promoting militarism in Japanese society and supporting aggressive action on the international stage. The modern capitalist Japan has one of the most advanced economy’s in the world. Ranked third in terms of GDP, the Japanese economy is a global leader in the production of motor vehicles, technology, and highly advanced manufacturing equipment (The Economist Intelligence Unit 2016).

Its growth over past decades has been achieved without restoring to the belligerent tactics similar to those leading up to the Pacific War. SCAP economic policy

towards the zaibatsu and unions, while not as aggressive or liberal as many reforms hoped, was successful in ending the militaristic nature of the Japanese economy.

Promotion of Democratic Forces

Coinciding with the political reform agenda, a primary objective of the occupation’s economic policy was to establish democratic practices and processes within Japan. SCAPIN-93 guaranteed basic rights to all Japanese citizens and supported the liberalization of the economy. Most importantly, this directive set the basic

framework for implementing economic reforms. As previously noted, labor reforms were seen by many U.S. officials as the key to the democratization of the economy and Japanese society. Specifically, these policies protected labor unions and establish fair labor standards.

Early in the occupation, MacArthur called upon the Prime Minister and his cabinet to encourage the growth of labor unions as a means of protecting jobs and wages during a period of economic uncertainty. While the growth of these organizations was initially slow, policies supported by SCAP such as the Labor Union Law led to the rapid growth of participation in unions. While SCAP support for unions was extensive, it was not unlimited. SCAP sought to reintegrate unions into the existing industrial

framework as an important part of a revialized democratic political system. As unions attempted to gain greater political power and establish a new industrial hierarchy, however, SCAP was quick to assist the Japanese government in curbing their expansion (Kawai 1960, 142-143).

The primary mechanism through which SCAP developed and implemented labor policy was the Japanese Labor Ministry. This institution was given extensive powers by MacArthur and staffed with reform minded Japanese officials. Relying on the Labor Ministry, SCAP controlled labor policy and develop new reforms. The Labor Relations Adjustment Law and Labor Standards Law, established mechanisms for arbitration between companies and unions while installing specific protections for suspect classes. Throughout the occupation, SCAP generally deferred to the Labor Ministry and refrained from intervening in individual labor disputes (Takemae 2002, 304).

To promote democratic forces in the economy, SCAP also worked with the Japanese government to pass new land reforms. These land reforms focused on breaking up the feudalistic agrarian system and removing Japan’s oppressive landlord class. Land reforms sought to stabilize the economy by addressing rapid urbanization, low agricultural wages, and the lack of food production. Ultimately, these policies increase the rural population’s support for other liberal economic and political policies. SCAP directives abolished land tenancy and purchased land to be sold to individual farmers (Takemae 2002, 312-314). These policies were designed to decentralize the agricultural sector, promote capitalism, and disrupt rising communist sympathy in rural areas.

The labor and land reforms implemented by SCAP during the occupation established the foundation of the modern capitalist Japanese economy. The

encouragement of unions, while sometimes disruptive to economic stability, helped democratize economic practices and resist the authoritarian tendencies of the old

Japanese economy. SCAPs willingness to work through the Labor Ministry strengthened democratic economic institutions and added legitimacy to the reform process among the Japanese population. These reforms helped to stabilize and grow the Japanese economy while supporting political and cultural reforms.