Chikusen Jowi no Rei — An Ancient Japanese Attempt to Spread Currency

In Wadō 4 (711), the Japanese court enacted a new system, the 'Chikusen Jowi no Rei'. At that time, Japan was heavily influenced by China's Tang Dynasty and was establishing a centralized government system based on the ritsuryō system. The spread of a currency-based economy was considered an important measure to strengthen the nation's economic foundation. However, money was not yet widespread in Japan, and bartering was the mainstream. Thus, the spread of a monetary economy was extremely difficult, leading the court to enact the Chikusen Jowi no Rei to encourage the accumulation of money.

In this system, an unprecedented method was adopted where official ranks were granted to those who accumulated a certain amount of coins, such as granting the rank of Jushichiinojo to those who collected 10 kan or more. The introduction of such a system aimed to promote the distribution of money and stimulate economic activity. However, in reality, the system did not function as desired, and many citizens could not save money. The limited effectiveness of the Chikusen Jowi no Rei is evident as it was virtually abolished by the mid-Nara period. For more about the political and economic conditions at the time, refer to Detailed Explanation of Wadōkaichin.

The establishment of the Chikusen Jowi no Rei in Wadō 4 (711) was a crucial moment in early Nara period Japan. During this period, Japan was adopting many cultural and technological elements from China's Tang Dynasty. The introduction of a monetary economy was part of this trend. However, Japanese society was not yet accustomed to using money, and bartering was still prevalent, making the spread of a monetary economy challenging.

Amidst these circumstances, the court issued the Chikusen Jowi no Rei as a policy to forcibly propagate a monetary economy. The policy aimed to encourage the accumulation of money, ultimately invigorating economic activity. Specifically, it involved granting official ranks to those who accumulated a certain amount of coins, with a regulation that those who saved 10 kan or more would receive the rank of Jushichiinojo.

The policy was based on the belief that using money would strengthen the nation's economic foundation and support a centralized state system. However, the system failed to achieve the expected results, as many people were unable to save money. As a result, the Chikusen Jowi no Rei was effectively abolished by the mid-Nara period. For more on the ancient Japanese monetary system, refer to Overview and Charm of Ancient Coinage.

The Chikusen Jowi no Rei was issued in the early Nara period to promote a currency-based economy. However, its effects were limited, and for many people, it became an unattainable goal. Accumulating 10 kan or more was extremely difficult for commoners at the time, and the system only benefited a segment of the wealthy.

While the amount of currency in circulation increased under this system, bartering remained dominant, and it did not lead to an activation of economic activities. Additionally, some people resorted to fraud to accumulate money for seeking official ranks, resulting in rampant dishonest practices. This led to a decline in the trust of the Chikusen Jowi no Rei, and many people became skeptical of the system.

Consequently, the Chikusen Jowi no Rei was effectively abolished by the mid-Nara period. Although it aimed to spread currency-based economy, its actual impact was limited and caused numerous issues. Nevertheless, the policy represents an example of trial and error in ancient Japan's monetary system, highlighting its historical significance. For the impact of the Chikusen Jowi no Rei, refer to Types and Identification of Holed Coins.

The Chikusen Jowi no Rei was effectively abolished by the mid-Nara period. The background to this includes the limited effectiveness of the policy and the widespread occurrence of fraudulent activities. Despite aiming to propagate a currency-based economy, the system did not achieve the desired results.

After the abolition of the Chikusen Jowi no Rei, Japan attempted anew to spread a monetary economy through different methods. In the Heian period, the Fujiwara clan issued its own currency, aiming for further propagation of a monetary economy. However, these attempts also had limited effects, failing to achieve a complete spread of currency economy.

Nevertheless, the Chikusen Jowi no Rei stands as an example of trial and error in ancient Japan's monetary system, with its influence extending into later generations. The policy provided lessons that influenced the formation of modern monetary systems. Following its abolition, Japan endeavored to introduce a more complex currency economy. Refer to Types and Market Trend of Koban for insights on the legacy of the Chikusen Jowi no Rei.