Since the Meiji era, Japan has been a trade deficit country with excess imports, and the Russo-Japanese War After that, the national finance was in a critical situation.
However, World War I changed the situation.
Improvement of balance of payments due to rapid increase in exports
In World War I, the great powers of Europe were concentrating on the war because of the economy. On the other hand, Japan and the United States were on the side of supplying supplies to the European powers without being directly damaged.
Also, until then, all the great powers had been fighting for hegemony over China, but on the contrary, it became Japan's monopoly.
By this time, Japanese industry had developed significantly and increased production in all fields. Shipbuilding and shipping industry has grown significantly due to a global shortage of vessels due to the war And Japan is the third largest shipping country in the world It has come to the point of climbing up to the position of.
Nobuya Uchida who retired from Mitsui &Co. and established Uchida Kisen after the outbreak of the war As you can see, the number of people who take this opportunity to make a lot of money by shipping and shipbuilding has increased. Such a person [ Nouveau riche ] It seems that it was called.
Due to the shortage of steel materials due to the activation of the shipbuilding industry, the government-owned Yahata Steel Works Expanded or South Manchuria Railway is Anshan Ironworks Was established. In addition, domestic production of chemical fields such as chemicals , which relied on imports from Germany. Has progressed.
In the silk industry, exports to the booming United States, like Japan, increased, and the cotton fabric industry expanded exports to the Asian market.
Japan, which was a trade deficit country, 1915 (Taisho 4) Became in the black, and the debt of about 1.1 billion yen in the year of the war disappeared, 1920 By that time, I had a loan of about 2.7 billion yen.
The value of industrial production in Japan has exceeded the value of agricultural production, and the number of people engaged in industry has increased.
Also, during and after the war, The Industry Club of Japan, Japan Economic Federation Economic organizations such as Was founded and the business community has become more politically influential.
Rice riots with exploding dissatisfaction
Nouveau riches were born from the war booms mentioned above, but they did not make people's lives easier.
For farmers, the prices of agricultural products have risen and their income has increased, but since farmers also buy daily necessities, soaring prices also result in increased spending. Urban workers also earn more, but they don't feel rich because they spend more.
What was serious about the soaring prices was the soaring rice prices. Military rice increased in World War I And, rice consumption has increased due to population growth in urban areas By doing so, 1917 (Taisho 6) Rice prices have skyrocketed since that time.
1918 (Taisho 7) In addition, women in Uozu Town, Toyama Prefecture, are trying to ban rice from being taken out of the prefecture. The following year, a similar uproar spread to the surroundings, and the media reported it nationwide, and the movement for a bargain sale of rice quickly spread.
It is said that more than 20,000 people have been arrested nationwide for attacking US merchants and companies, and more than 700,000 people have participated in the movement.
This rice riot Was spontaneous, with no central leader, but its scale was unprecedented in the popular movement. The spread of this turmoil was triggered by the newspaper world, and the government increased its crackdown on newspapers. However, the Terauchi Cabinet of the time Prime Minister Terauchi Resigned, Seiyukai Governor Hara Takashi is Prime Minister The beginning of Japan's first political party cabinet was.
Since it is the first cabinet of the prime minister who does not have a title from the people, [ Prime Minister Heimin ] Was called and welcomed.