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To What Ways Did Japan's Limited Participation In The Conflicts Of The First World War Benefit Her Economic Development?

1078 words - 4 pages

Although Japan was technically on the side of the allies during World War One, she had little if any real involvement in the actual warfare. Because she played such a modest role in the war, Japan was able to exploit the economic situation during the war to her advantage. Countries involved in the war had no time to produce domestic goods any more, all their energies were devoted to the war effort, this left a gap in the market which Japan was happy to fill. Not only did Japan begin supplying domestic goods, she also began producing munitions for the allies, which make her economic position during the war even more favourable. Japan export market began to experience a massive boom during the whole war period. This resulted in Japan improving her economic position considerably, this can be seen by Japan becoming a creditor country instead of being a debtor. Japan benefited greatly form the war, not only did her economic position improve it transformed Japan into a modern economy something she greatly wanted to achieve. The economic effects of the war acted as catalyst for the Japanese economy. Not did her economy boom she was now recognised as a major international power.The war in itself became a huge market for Japan. Because she spent the majority of the war at peace Japan was able to exploit the huge demands on munitions production that a war requires. Japan's munitions manufacturing grew extensively throughout the war period and Japan supplied the Allied countries with a large percentage of all their munitions requirements during the war. Not only did the Allies place large orders with Japan for munitions, they also required them for other manufactures. Due to the war, many of these countries did not have the time or the resources to produce domestic goods required for their country to carry on as normal. The War placed an increasing strain on their economy for them to provide everything they required so they began to import goods more and more from Japan.Not only did increased trade come from countries involved in the war, it also came from neutral countries. Countries that used to be supplied from countries involved in the war now needed a new market from which to import their goods. This was because the countries that used to supply them now didn't have the time because of the huge constraints placed upon them by the war. They couldn't even produce enough goods for their own goods so exporting was out of the question. Because of the evaporation of Western competition, Japan was able to take up a huge amount of the economic market once dominated by the Western powers. Japan began exporting goods to countries in Asia, Indian and China.Due to the increasing economic prospects the War had given the Japanese market they now needed to supply consumer and high technical goods such as machinery, tools and chemicals for themselves. This had always been imported from other countries before 1914. In order to receive as much economic profit as she...

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