IDEAS home Printed from https://ideas.repec.org/p/koe/wpaper/1121.html
   My bibliography  Save this paper

From Smithian Growth to Schumpeterian Development: An Inquiry into the Development of the Kiryu Weaving District in the Early 20th Century Japan

Author

Listed:
  • Tomoko Hashino

    (Graduate School of Economics, Kobe University)

  • Keijiro Otsuka

    (National Graduate Institute for Policy Studies)

Abstract

This study finds that the process of evolutionary development of the Kiryu weaving district in Japan from 1895 to 1930 can be divided into the two phases, i.e., Smithian growth based on the inter-firm division of labor using hand looms and Schumpeterian development based on factory system using power looms. Weaving manufacturers-cum-contractors led Smithian growth by organizing sub-contracts with out-weavers in rural villages among others, thereby contributing to the steady growth in production. Newly emerged joint stock firms played a role of genuine entrepreneurs by realizing significant scale economies and transforming the traditional weaving district into a cluster of large modern factories.

Suggested Citation

  • Tomoko Hashino & Keijiro Otsuka, 2011. "From Smithian Growth to Schumpeterian Development: An Inquiry into the Development of the Kiryu Weaving District in the Early 20th Century Japan," Discussion Papers 1121, Graduate School of Economics, Kobe University.
    • Handle: RePEc:koe:wpaper:1121
    as

    Download full text from publisher

    File URL: http://www.econ.kobe-u.ac.jp/RePEc/koe/wpaper/2011/1121.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Parker,William Nelson, 1984. "Europe, America, and the Wider World," Cambridge Books, Cambridge University Press, number 9780521274807, November.
    2. Keijiro Otsuka, 2006. "Cluster‐Based Industrial Development: A View From East Asia," The Japanese Economic Review, Japanese Economic Association, vol. 57(3), pages 361-376, September.
    3. Tomoko Hashino & Takafumi Kurosawa, 2011. "Beyond Marshallian Agglomeration Economies: The Roles of the Local Trade Association in a Meiji Japan Weaving District (1868-1912)," Discussion Papers 1113, Graduate School of Economics, Kobe University.
    4. Minami, Ryoshin, 1977. "Mechanical Power in the Industrialization of Japan," The Journal of Economic History, Cambridge University Press, vol. 37(4), pages 935-958, December.
    5. Minami, Ryoshin & Makino, Fumio, 1983. "Conditions for Technological Diffusion : Case of Power Looms," Hitotsubashi Journal of Economics, Hitotsubashi University, vol. 23(2), pages 1-20, February.
    6. Jones, S. R. H., 1987. "Technology, Transaction Costs, and the Transition to Factory Production in the British Silk Industry, 1700–1870," The Journal of Economic History, Cambridge University Press, vol. 47(1), pages 71-96, March.
    7. Tetsushi Sonobe & Keijiro Otsuka, 2014. "Cluster-Based Industrial Development," Palgrave Macmillan Books, Palgrave Macmillan, number 978-1-137-38511-6, September.
    8. George J. Stigler, 1951. "The Division of Labor is Limited by the Extent of the Market," Journal of Political Economy, University of Chicago Press, vol. 59(3), pages 185-185.
    9. Hayami, The late Yujiro & Godo, Yoshihisa, 2005. "Development Economics: From the Poverty to the Wealth of Nations," OUP Catalogue, Oxford University Press, edition 3, number 9780199272716.
    10. Jones, Geoffrey & Zeitlin, Jonathan, 2009. "The Oxford Handbook of Business History," OUP Catalogue, Oxford University Press, number 9780199573950.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Hashino, Tomoko & Otsuka, Keijiro, 2012. "Hand looms, power looms, and changing production organizations: the case of the Kiryu weaving district in the early 20th century Japan," Economic History Working Papers 41659, London School of Economics and Political Science, Department of Economic History.
    2. Tomoko Hashino & Keijiro Otsuka, 2013. "Hand looms, power looms, and changing production organizations: the case of the Kiryū weaving district in early twentieth-century Japan," Economic History Review, Economic History Society, vol. 66(3), pages 785-804, August.
    3. Otsuka, Keijiro & Sonobe, Tetsushi, 2011. "A cluster-based industrial development policy for low-income countries," Policy Research Working Paper Series 5703, The World Bank.
    4. Otsuka, Keijiro & Sonobe, Tetsushi, 2012. "The Role of Training in Fostering Cluster-Based Micro and Small Enterprises Development," WIDER Working Paper Series 099, World Institute for Development Economic Research (UNU-WIDER).
    5. Esteban-Pretel, Julen & Sawada, Yasuyuki, 2014. "On the role of policy interventions in structural change and economic development: The case of postwar Japan," Journal of Economic Dynamics and Control, Elsevier, vol. 40(C), pages 67-83.
    6. Fleisher, Belton & Hu, Dinghuan & McGuire, William & Zhang, Xiaobo, 2010. "The evolution of an industrial cluster in China," China Economic Review, Elsevier, vol. 21(3), pages 456-469, September.
    7. Tomoko Hashino & Keijiro Otsuka, 2013. "Expansion and Transformation of the Export-Oriented Silk Weaving District: The Case of Fukui in Japan from 1890 to 1919," Discussion Papers 1303, Graduate School of Economics, Kobe University.
    8. John Strauss & Edward Y. Qian & Minggao Shen & Dong Liu & Mehdi Majbouri & Qi Sun & Qianfan Ying & Yi Zhu, 2010. "Private-Sector Industrialization in China: Evidence from Wenzhou," Palgrave Macmillan Books, in: Keijiro Otsuka & Kaliappa Kalirajan (ed.), Community, Market and State in Development, chapter 16, pages 262-290, Palgrave Macmillan.
    9. Tetsushi Sonobe & Keijiro Otsuka, 2012. "The Role of Training in Fostering Cluster-Based Micro and Small Enterprises Development," WIDER Working Paper Series wp-2012-099, World Institute for Development Economic Research (UNU-WIDER).
    10. Hashino, Tomoko & Otsuka, Keijiro, 2013. "Cluster-based industrial development in contemporary developing countries and modern Japanese economic history," Journal of the Japanese and International Economies, Elsevier, vol. 30(C), pages 19-32.
    11. Tomoko Hashino & Keijiro Otsuka, 2015. "The Rise and Fall of Industrialization and Changing Labor Intensity: The Case of Export-Oriented Silk Weaving District in Modern Japan," Discussion Papers 1501, Graduate School of Economics, Kobe University.
    12. Keijiro Otsuka, 2020. "Strategy for Cluster-Based Industrial Development in Developing Countries," Discussion Papers 2019, Graduate School of Economics, Kobe University.
    13. Dai, Ruochen & Mookherjee, Dilip & Quan, Yingyue & Zhang, Xiaobo, 2021. "Industrial clusters, networks and resilience to the Covid-19 shock in China," Journal of Economic Behavior & Organization, Elsevier, vol. 183(C), pages 433-455.
    14. Carol Newman & John Page, 2017. "Industrial clusters: The case for Special Economic Zones in Africa," WIDER Working Paper Series 015, World Institute for Development Economic Research (UNU-WIDER).
    15. Mano, Yukichi & Yamano, Takashi & Suzuki, Aya & Matsumoto, Tomoya, 2011. "Local and Personal Networks in Employment and the Development of Labor Markets: Evidence from the Cut Flower Industry in Ethiopia," World Development, Elsevier, vol. 39(10), pages 1760-1770.
    16. Ali, Merima & Peerlings, Jack & Zhang, Xiaobo, 2010. "Clustering as an organizational response to capital market inefficiency: Evidence from handloom enterprises in Ethiopia," IFPRI discussion papers 1045, International Food Policy Research Institute (IFPRI).
    17. Mano, Yukichi & Iddrisu, Alhassan & Yoshino, Yutaka & Sonobe, Tetsushi, 2012. "How Can Micro and Small Enterprises in Sub-Saharan Africa Become More Productive? The Impacts of Experimental Basic Managerial Training," World Development, Elsevier, vol. 40(3), pages 458-468.
    18. Yoshimichi Murakami & Keijiro Otsuka, 2017. "A Review of the Literature on Productivity Impacts of Global Value Chains and Foreign Direct Investment: Towards an Integrated Approach," Discussion Paper Series DP2017-19, Research Institute for Economics & Business Administration, Kobe University, revised Aug 2019.
    19. Douglas Zhihua Zeng, 2012. "China'S Special Economic Zones And Industrial Clusters: The Engines For Growth," Journal of International Commerce, Economics and Policy (JICEP), World Scientific Publishing Co. Pte. Ltd., vol. 3(03), pages 1-28.
    20. Monica DUDIAN, 2011. "Innovative Clusters: The Case Of Romania," Management Research and Practice, Research Centre in Public Administration and Public Services, Bucharest, Romania, vol. 3(3), pages 1-11, September.

    More about this item

    Keywords

    industrial district; Smithian growth; Schumpeterian development; weaving industry; 20th century Japan;
    All these keywords.

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:koe:wpaper:1121. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Kimiaki Shirahama (email available below). General contact details of provider: https://edirc.repec.org/data/fekobjp.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.