Neo-Confucianism as the Basis for Asian Economic

Growth

J.D. Han with Yang Zheng

Confucius

1. Confucius( 孔子 )(B.C. 552-479)

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 andPracticing 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 1610-95)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 1875-1927)

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 1949-1980s, 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 )

15th 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 PeopleGovernmentEntrepreneurs

(Zaibatsu)

ProfitSociety

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 KeiretsuToyota

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.