Neo-Confucianism as the Basis for Asian Economic Growth J.D. Han with Yang Zheng Confucius

1. Confucius( 孔子 ) (B.C ) His teachings are in “Dialectics （论语 )” Confucius

1) The Main Difference Compared with Western Christianity ， the Confucianism is not a religion, but an ethic. Judgment and morals norm can come from a person himself, Ideas come from the Jesus or God or other systems.

2) Confucius’s Core Ideas  He disliked the society ruled by Laws, Regulations, and Punishments.  He believed that the society should be ruled by educated Leaders with a clear sense of Noblesse Oblige devoted to Humanity -> ‘Confucian Leadership Model’

(1) Benevolence  The core value of Confucianism is rén ( 仁 ). - direct translation "benevolence "or Goodness - in concrete, it means the virtue of perfectly fulfilling one's responsibilities toward others.

 Yì can be translated as righteousness  This is doing the right thing for the right reason.  This balances out with Humanity. (2) Justice

 Li, is described by using some forms of the word ‘ritual’, it has also been translated as ‘etiquette' and ‘rules of proper behaviors’. (3) Etiquettes

(4) Knowledge 智  Knowledge or wisdom

(6) Doctrine of the Mean 中庸  Controlling pleasure, anger, sorrow, or joy, the mind may be said to be in the state of Equilibrium.  This comes from the Judgement to keep balance.  This leads to the state of Harmony ( 和 ).

(7) Life-Long Learning and Practicing 学 习  Studying/Learning is a life-long process.  Leaning is to become a noble person with virtue of noblis = ‘Philosopher’ of Plato  Emphasizes “Practicing what is learned” -> Noble persons rule and lead -> ‘Phlisopher King’ of Plato

How did they work to be the System of Institutions?  Leaders are to be Educated, Ethical, Benevolent Philosophers  Education + Bureaucrat Exam + Meritocracy provide competition for leadership  Members of each level of society follow the leaders without conflicts

Philosopher Leader versus Petty Person  Virtue = Noblesse Oblige makes the difference - Continuous selection/refinement is needed.  Revolution against Petty Leaders is justified Educated People Philosopher Leaders Petty Persons

Comparisons  Comparable to Plato’s “Philosopher King” in his Republic  Philosopher Leaders are to be devoted to Humanity, and Justice for members. -> Ground for political legitimacy -> Benevolent Dictatorship, not Democracy -> Efficient and effective.

2. Changes in Confucianism  What the Confucius said has not changed, but its Interpretation has changed.

Evolution  Original Confucianism preceded the inflow of Buddhism in China from India  Confucianism became Tools for Oppression by the Han Dynasty. 》 -> Feudalistic Confucianism.  Oppressed people relied more and more on Buddhism and Taoism  With the challenge of Buddhism, Confucianism was innovated into Neo-Confucianism in the Song Dynasty(

3. The Innovation of Neo-Classical Confucianism  Ethical Aspect - Reemphasizing Humanity - Open up a possible Reform

1) Zhu Xi( 朱喜 ) founder of Neo-Confucianism in Song Dynasty ( A.D 960–1279) He pushes Confucianism to a higher state, which make it become a Confucianism development milestone of the history

Main Concept  Li (lĭ) is a concept found in Neo-Confucian Chinese philosophy. It’s the principle that is in everything and governs the universe. Each person has a perfect li.  Individuals should act perfectly moral  It may be translated as rational principle or rationality

His Achievements  He added metaphysical dimensions (ideas from Taoism and Buddhism) into Confucianism.  Reemphasizing Cultivation of Mind( 心 学 ), Ethic( 道学 ), and Innovation ( 维新 )  extending this Personal Ethic to Social Philosophy and National Religion.

2) Huang Zongxi ( 黄宗羲 )95)  Huang was notable for being one of the first Neo-Confucians to stress the need for constitutional law and considered as the father of the Enlightenment -> China’s Rousseau  “Light Recessed, and Waiting for the Dawn” （明夷待访录 ) was a summary of ideas about political reform.  The political tract begins with a condemnation of selfish autocratic rule, and declares that the world should belong to the people

3) Kang Youwei( 康有为 )  He argued for the combination of Western Technology ( 西器 ) + Chinese Neo-Confucianism ( 东道 ) + Socialist Communism  Emperor’s tutor; Constitutional Monarchist;  Neo-Confucian Reformer ( 孔子改制考 )

4) Tu Weiming ( 杜維明 1940-)  Professor of Harvard University  Sponsored by Prime Minister Li Kwan Yew of Singapore  He argued that Neo-Confucianism is conducive for personal edification as well as Economic Growth  Neo-Confucian Leadership is essential for Economic Growth

* Confucianism + Economy  Confucianism for Modesty, Thrifty -> Savings and Investment  Confucianism for Enlightenment -> Education and Human Capital  Confucianism for Order, Harmony, Doctrine of the Mean -> Social Capitial

 Confucianism for Self-Edifying, Virtue, Noblesse-Oblige -> Governance: Minimum Transactions Cost and Maximum Leadership -Collectivism vs Individualism Example: Li Jiacheng ; The Li Ka Shing Foundation To date, the sponsorships and commitments approx.$ 990 million - Doctrine of the Mean in Business Competition Stress to moderate and response. Appeal greatly and together and save small difference, oppose competing excessively

4. Neo-Confucianism in East Asia  Neo-Confucianism spread to Korea and Japan  In Korea and Japan, People have various religions, but regard Neo-Confucianism as the guiding ethical principle for personal, family, society, and national levels.  In China, there was a period of official suspension of Confucianism between s, which is followed by a revival of Confucianism.

1) Neo-Confucian Experience in Japan

Neo-Confucianism transplanted to Business = Zaibatsu -> Modern Keiretsu in Japan -> Chaebols in Korea

History Meiji Restoration ( 明治维新 ) 15 th Shogunate ( 德川庆喜 ) resigned his position November 9, 1867 Edo Period (Tokugawa Shogunate) ( 德川幕府 ) Meiji Era Boshin War January, 1868

Meiji Restoration Reformers were Samurai class backed up by Neo-Confucians.

Policies Economic Development by the State Leader ship State Leadership: Uphold the Emperor, and Strengthen the army and Enrich the Nation ( 富国强兵 ) Education: Compulsory Education Open Up to World for Trade and Technology

Japanese government needed New Class of Entrepreneurs. Samurai-turned-into-Businessman

Why reformed Samurai? — Traditional warrior class was detrimental to Social Stability and Industrialization; had to be disarmed. — Still, well-Educated, noble Samurai Spirit/Patriotism may be put into use

Noble People Government Entrepreneurs (Zaibatsu) Profit Society Modern Japanese Neo-Confucian System Education

Pre-WW II Zaibatsu Mitsubishi Mitsui Sumitomo Yasuda

* Mitsubishi - One of the Major Zaibatsu — Established in 1870 by Iwasaki (Yotaro 岩崎 弥太郎 ) — closely related to Meiji Restoration and State Leadership — Now: Mitsubishi Bank Mitsubishi Corporation Mitsubishi Heavy Industries

Post WW II Keiretsu  Horizontal Keiretsu Mitsubishi Mitsui Sumitomo Fuyo Sanwa Daichi Kangyo  Vertical Keiretsu Toyota Nissan Honda Daihatsu Isuzu Hitachi Toshiba Sanyo Matsushita Sony

2) Korea  Chaebol: -LG; Samsung; Hyundai; Daewoo; Hanhwa -Neo-Confucian organization and operation - Effective and efficient in Korean social context

3) In China  This idea deviates China's focus from economic growth to overall societal balance.  Hu-Wen New Administration President Hu Jintao and Premier Wen Jiabao have adopt more reform-oriented and more open-minded policy. Premier Wen always wear a overcoat which has ten year history.

Future of Neo-Confucianism  China may unite the East Asia with the doctrine of Neo-Confucianism.  Hu-Wen government of China supports studies and spread of Neo-Confucianism.

5. Conclusion  Not all Confucianism is conducive for Innovative Society, and Neo-Confucianism is.  The essence of Neo-Confucianism is Ethic of Humanity. <- comparable with Protestant Ethic  Ethic of Humanity is conducive for Accumulation of Human Capital, Social Capital, and Government Leadership.