Accounting, Organizations and Society 32 (2007) 543–575 www.elsevier.com/locate/aos 0361-3682/$ - see front matter  2006 Elsevier Ltd. All rights reserved. doi:10.1016/j.aos.2006.10.003 A history of Japanese accounting reforms as a microfoundation of the democratic socio-economy: Accountics Part II Tomo Suzuki ¤ SAID Business School, University of Oxford, Park End Street, Oxford OX1 1HP, United Kingdom Abstract Immediately after WWII, unlike statisticians’ reforms, accountants failed to establish the Cabinet-controlled Accounting Committee and Accounting Law which were originally envisaged as the key to successful “Accountics”: the management of the socio-economy through standardized accounting (Part I). Nevertheless, July 1948 is regarded as the beginning of Japan’s accounting revolution, as academic accountants accomplished a series of fundamental reforms. Part II examines the process through which micro Wnancial systems were swiftly developed as a microfoundation of the new “democratic” socio-economy. First, academics implemented new accounting for large companies in order to dilute the Zaibatsu- and Imperial-centred regime; followed by censored and standardized accounting education for SMEs and the public in order to change the public perception of the roles of businesses in society. The foci of examination are the political manoeuvres of reformers, the consequences of new accounting, and pragmatic philosophy of the academics in action. Towards the end of the paper, some implications of this history are considered in relation to the impacts of the IAS/IFRS on today’s international socio-economy.  2006 Elsevier Ltd. All rights reserved. Introduction to Part II In Part I, the history of Japanese economic statistics was examined from a viewpoint of international standardization of macroeconomic accounting in the 1940s. One of the main points of the examination was to clarify that Japan’s statisti- cal revolution took place according to the inter- national movement in which supra-national institutions and superpowers were utilised to realize * Tel.: +44 (0) 1865 288800; fax: +44 (0) 1865 288805. E-mail address: Tomo.suzuki@sbs.ox.ac.uk