
in the cold war era: the active involvement of an American military occupation
between 1945 and 1952 and its continuation since that time under the provisions
of the US–Japan Security Treaty, and the recoding of Japan’s modern history into an
instance of modernization in scholarly social science writing in the 1960s, 1970s,
and early 1980s.
13
The Japanese, of course, reconstructed their own regionalized
modernization theory in the 1970s as the changes in global economic circumstances
made re-Asianization an imperative for the Japanese economic machine. In the so-
called ‘‘flying geese’’ model, initially advanced in the 1930s and revived in the 1970s,
Japan was the lead goose heading a flying-V pattern of Asian economic geese. The
other Asian countries, maintaining their respective and relative positions in the
formation, were to follow and replicate the developmental experience of the Japanese
and other ‘‘geese’’ in front of them. Over time, the Asian nations would proceed
collectively toward mutually beneficial advances in industrialization and manufactur-
ing, and eventually achieve prosperity, with Japan remainin g the undisputed devel-
opment leader in the region.
14
American modernization theories and its Japanese
variant are simply a mutation of an imperialism and colonialism discredited by World
War II.
15
Postwar stability reached a crisis in the 1970s whi ch forced Jap an to alter and
redefine its economic relationship with Asia. The breakdown of the Bretton Woods
monetary system (1971), the quadrupling of world oil prices (1973), and the grow-
ing trade surpluses with the United States led to a shift in Japanese foreign economic
policy. First, foreign direct investment by Japanese firms gradually became more
important than simple trade. Second, Asia became more important to Japan’s overall
economic strategies. Japan’s refocus on markets in Asia begun in 1970s, but acceler-
ated vigorously following the Plaza Accord of 1985 and the consequent 40 percent
appreciation in the value of the Japanese yen by 1987.
16
As a consequence, Japanese
foreign direct investment (FDI) in 1986 was nearly double that of 1985. By 1988 the
figure had doubled once again and it peaked in 1989 at $67.5 billion. While the bulk
of this investment went to North America, principally the United St ates, roughly one-
quarter was targeted at the rest of Asia, making a profound impact on economics
throughout the region. Furthermore, between 50 and 60 percent of Japan’s Asian
investment was in manufacturing, especially in consumer electronics and automobile
industries, moving and expanding towards a intra-regional and intra-industrial div-
ision of labor. For the single year 1993, Asian FDI by Japan accounted for a much
higher proportion of total Japane se FDI (33 percent).
17
One of the consequences of growing Japanese FDI and expanding manufacturing
facilities in Asia and the fast developing consum erist economies in Asia is the prolif-
eration of Japanese mass culture in the region, especially in Thailand, Hong Kong,
Taiwan, and other Chinese-speaking communities in Southeast Asia. Largely because
of Japanese colonialism and war crimes, Japanese cultural products were until recently
officially banned in some of its former colonies such as Taiwan and South Korea.
Although limited products, mostly TV animation, were broadcast in Taiwan and
South Korea from the 1970s, any associations with Japanese culture were erased or
modified. The systematic proliferation and transnationaliza tion of Japanese mass
image, sound, and commodity in Asia took place only in the 1990s, a period that
coincided with the heightened process of globalization in the region in the wake of
the thawing of the cold war.
416 LEO CHING