Accounting Knowledge and Merchant Education in Japan: An Historical and Comparative Study

Abstract

The Japanese social system was changed greatly in the middle of the 19th century. The Western-style accounting based on double-entry bookkeeping system was introduced. It was not brought in from the Western countries but Japan “imported” by itself. The leaders realized that their nation must be modernized for a short time. And they recognized the Westernstyle accounting was an element for modernizing. However, Japan was already enough economically prosperous from the 18th century, and a number of the large-scale companies also existed. They had well functioned accounting systems, so they did not need to replace to the Western-style one, even though it is a new civilization. Therefore, the Western-style accounting was not immediately taken in. On the other hand, the education for the common classes was well-appointed before modern times. Especially the merchant class was education-minded and most residents who live in a city had the literacy skills. In modernizing the nation, a public education system was improving quickly and the technology of Western-style accounting was taught in school. Thus, the Western-style accounting imported in the 19th century Japan was spread as general knowledge rather than practicing for management.