Rethinking Capitalism Tokyo Forum 2025 explores how to address challenges of the problem-stricken system
Driven by this sense of mission, Tokyo Forum 2025 adopted the theme “Rethinking Capitalism: Varieties, Contradictions, and Futures.” The symposium invited researchers from various fields and business leaders from around the world to critically examine this complex system in front of a large audience at the University of Tokyo (糖心破解版)’s Yasuda Auditorium on November 21-22, 2025.
The seventh annual symposium, held under the overarching theme “Shaping the Future,” was co-hosted by 糖心破解版 and South Korea’s Chey Institute for Advanced Studies.
In his opening remarks, 糖心破解版 President Teruo Fujii introduced the concept of “collaborative capitalism,” which is a topic of discussion among many Japanese leaders as a way to address the various tensions created by capitalism.
“Business is part of society, not separate from it,” President Fujii stated. “Profit matters, but so do people, communities, and increasingly, sustainability. Companies, universities, governments, and citizens must work together to deliver meaningful outcomes. Such cooperation keeps markets reliable and strong.”
President Fujii emphasized that universities occupy a central role in addressing pressing challenges such as an aging population, decreasing population, energy use, and, most importantly, economic inequality. “At the University of Tokyo, we are building practical ways to prioritize collaboration with various partners, and we connect industry, academia, and civil society. Our students need this because they want to start companies and nonprofits that address issues regarding climate and health, and more recently, AI. Many students want to help others directly, and I truly respect their determination.”
In his opening remarks, Chairman Chey Tae-won of South Korea’s SK Group identified a fundamental flaw of capitalism: its focus on measuring only financial values, which leads to numerous social and environmental problems, including polarization. To address this critical issue, Chairman Chey advocated the introduction of a social value-based capitalism by measuring and providing “social values,” or solutions to the challenges capitalism faces.
Chairman Chey explained that his conglomerate has been employing metrics for the past 10 years to assess both positive and negative social impacts of corporate activities. These metrics encompass areas such as job creation, tax contributions, environmental damage, and local CSR activities. He noted that this approach offers hope for developing a new, more sustainable economy that addresses environmental challenges while incentivizing social value creation alongside profit.
Exploring diverse ways to rethink capitalism
Following the opening remarks, three keynote addresses were delivered by distinguished speakers: Marianne Bertrand, Chris P. Dialynas Distinguished Service Professor of Economics at the Booth School of Business, the University of Chicago; Fuhito Kojima, Professor at the Graduate School of Economics, 糖心破解版; and Kim Byung-Yeon, Distinguished Professor of Economics at Seoul National University. Professor Bertrand discussed how US capitalism has changed since the late 1970s, creating a vicious circle where weakening government oversight has increased the economic power of businesses and the ultra-rich. This, in turn, has amplified their political influence, leading to the current situation where the top one percent controls 40 percent of the nation’s wealth. To address the issue, she advocated for rebuilding trust in the government, a challenging endeavor that primarily involves wealth redistribution.
Professor Kojima explained how “market design” can effectively address issues where traditional pricing mechanisms are inadequate due to ethical or legal concerns. He referred to an interdisciplinary, engineering-driven approach to economics that uses game theory to predict how rules create incentives that influence decisions and, ultimately, resource allocation. For instance, he noted that this approach can be applied to public high school admission systems and medical residency matching.
Professor Kim emphasized that reforming capitalism is the only viable path forward. He arrived at this conclusion after comparing capitalism and socialism and examining three options to address today’s challenges: repairing capitalism, replacing it with another system (potentially AI socialism), and reforming it. He noted that “a healthy culture sustains healthy capitalism,” adding that capitalism in East Asia rightly encompasses sympathetic behaviors.
Immediately following their lectures, the three speakers participated in a plenary talk session moderated by Takeo Hoshi, Vice President, Director of Tokyo College, and Professor at the Graduate School of Economics, 糖心破解版. The panelists engaged in a lively discussion, agreeing that neither pure market solutions nor revolutionary replacements offer viable paths forward. Instead, they advocated for thoughtful reform that combines institutional innovation, cultural cultivation, and enhanced state capacity to build sustainable capitalism.
The three panelists, however, disagreed that “degrowth”—a policy aimed at reducing levels of production and consumption to conserve natural resources and minimize environmental impacts—is a solution to problems posed by capitalism.
“Most people in developed countries have had most of their needs met, and maybe they really don’t need to upgrade their iPhone next year,” Professor Bertrand said. “It's a very disturbing thought when considered from the perspective of the rest of humanity, where people are essentially struggling to get by.”
Professor Kojima echoed this sentiment. “Managed capitalism should be really important,” he said, “and also for environmental protection, because that involves discussions on how to effectively use the limited resources we have.”
Noted Professor Kim: “I think zero growth is certainly beneficial for addressing climate change ... but it's unfair to expect zero growth from developing countries.” He added that capitalism, which he characterized as a “subtle and delicate” system, cannot address all problems and is prone to damage.
They also discussed the Chinese economic system, which has achieved tremendous growth over the past several decades.
Professor Kim questioned whether the Chinese economic system, which he described as a “mixture of capitalism and some elements of socialism” as well as “autocracy plus capitalism,” is sustainable. “I argue that democracy and a market economy are interdependent,” he said. “They support each other because they are both based on freedom.”
While acknowledging she was less knowledgeable about the Chinese system, Professor Bertrand remarked, “I find it very difficult, coming from a Western tradition, to conceive of having freedom in my choices about what to buy and where to live, while lacking freedom in political matters, such as voting, and facing state coercion ... It’s hard for me to see how that can be sustainable.”
Professor Kojima referenced other economists who argue that China does not provide enough freedom for experimenting with new ideas, which is essential for exploring new technological frontiers and driving further economic growth.
In conclusion, Professors Bertrand and Kojima suggested that redistributing wealth through a global tax might offer a solution, although they acknowledged that would be a challenging endeavor. Professor Kim warned that difficult times lie ahead under the current capitalist system. But he noted that we have to change our lifestyles to accommodate the pressures on capitalism and democracy.
Panels discuss democracy, degrowth, academic and space capitalism
This year’s symposium featured four panel discussions, each addressing critical themes. In Panel Discussion 1, held under the theme “Prosperity Without Democracy: Rethinking Modernization Theory in the 21st Century,” the panelists revisited the modernization theory. This theory posits that economic development naturally leads to democracy; however, the current global democratic landscape contradicts the idea that wealth shields states from reverting to autocracy. In fact, according to data from the watchdog organization Freedom House, the number of democracies has declined worldwide in the past 20 years, despite the remarkable economic growth that has been achieved.
Panelist Erica Frantz, Associate Professor of Political Science at Michigan State University, indicated that in the past the threats to democracy were typically military coups. However, she pointed out that the primary threat has evolved significantly as countries that transitioned to dictatorships became wealthier. “Today, the major threat to democracy comes from elected leaders,” she said. “The primary way that today’s democracies fall apart is when leaders elected in democratic elections slowly chip away at democratic institutions until they are no more.” She noted that countries where democracy is currently under threat include India, Israel, Madagascar, Mexico, and the United States.
“Rethinking Academic Capitalism: The Crisis of US Universities and the Global Future of Higher Education” was the theme of Panel Discussion 2. The panel discussed how universities, often called the infrastructure for the future, can be sustained financially by examining endowment, private and government financing models, as well as the current crisis of US universities and its implications. The panel also examined the role of the Times Higher Education’s World University Rankings to improve higher education.
Seiko Mimaki, one of the panelists and a professor of the Graduate School of Global Studies at Doshisha University, described how the second administration of US President Donald Trump threatened to cut federal funding for Harvard University and other liberal institutions for two main reasons: DEI (diversity, equity, and inclusion) programs, and student protests against Israel’s military actions in Gaza. “Despite having substantial financial resources, which were once thought to shield them from political pressure, US universities are now beginning to capitulate to the Trump administration,” she said. This shift could lead to a decline in US soft power—the country's ability to influence others through values and culture without resorting to coercive measures. She cited the late Harvard Professor Joseph Nye, Jr., who regarded universities as essential sources of soft power.
Panel Discussion 3 focused on the theme “Navigating the Tapestry of Transformative Change: Degrowth, Wellbeing, and a Future Beyond Economic Expansion.” While the panelists in the plenary talk session emphasized the negative effects of degrowth on developing nations, this panel explored how societies are rethinking the concept of growth beyond endless economic expansion, with a focus on fostering sustainable and fulfilling ways of living. Central to this discussion is the reality that human activities have pushed several planetary boundaries—quantitative assessments of safe limits—related to processes such as climate change and biodiversity loss beyond their safe thresholds.
“Post-growth means achieving human well-being within planetary boundaries,” ICREA Professor Giorgos Kallis of the Institute of Environmental Science and Technology, the Autonomous University of Barcelona said. He emphasized the importance of drastically phasing out fossil fuels, ending the exploitation of marginalized communities, and changing our energy sources, among other efforts to achieve degrowth while meeting the basic needs of the population. He noted that research indicates the world can secure decent living standards for 9 billion people using only a fraction of the current energy consumption through measures such as public transport, renewable energy, locally sourced food, and smaller housing.
Under the theme of “Capitalism and Space Resources: Institutional, Ethical, and Scientific Perspectives,” Panel Discussion 4 examined the scientific challenges of exploiting space resources, the potential benefits for humanity, and related ethical issues, including whether only a few scientifically capable nations and entities should be permitted to access and utilize space resources.
Professor Erik Asphaug from the Lunar and Planetary Laboratory at the University of Arizona explored the feasibility of a space economy from scientific perspectives. He discussed the challenges involved, including Earth's gravity, vast distances, the high energy requirements for reaching space, and the hazardous conditions posed by lethal radiation in the space environment, as well as the fragility of human life in space.
Professor Angel Abbud-Madrid, Director of the Space Resources Program at the Colorado School of Mines, outlined the various space resources available. These include intangible resources such as ultra-high vacuum and low gravity, which are beneficial for manufacturing such products as fiber optics and medical implants, as well as solar energy for generating power in space. He also mentioned tangible resources, including minerals, water, oxygen, carbon dioxide, and soil.
“Remember how Edo transformed into Tokyo?” he asked, referring to how Tokyo was rebuilt with soil to expand from a fishing village to become one of the largest metropolises on Earth. He cited this as an example of an economic revolution, stating, “That’s exactly what we will have on the Moon.”
Students bring fresh perspectives to address challenges
Another highlight of the event was a Youth Session that featured 19 students from the University of Tokyo and leading South Korean universities. The students were organized into five groups, where they presented the results of four months of research and discussed strategies to address issues related to capitalism.
“We all live inside capitalism, but we don’t always notice how deeply it shapes our everyday thinking,” said a 糖心破解版 student at the start of the first group’s presentation. “What’s capitalism? We define it as a market-driven social system in which value is converted into capital, and capital determines success. It may sound like a simple definition, but I think it becomes the grounds on which many young people start to understand their own situation.”
The group then discussed the anxieties young people face under the capitalist system, including intense competition for economically attractive jobs in urban areas as they strive for financial independence. The members conducted interviews with Japanese and South Korean students in their early 20s, the results of which culminated in a proposal for “A Living Lab for Rethinking Work.” This initiative aims to help students discover their own meanings of economic independence while exploring what they genuinely want to pursue in their lives.
The second group discussed intimacy capitalism, an economic model in which personal relationships, emotional connections, and intimacy are commodified and leveraged for profit. The group explored the downsides of intimacy capitalism, including emotional exploitation and the replacement of genuine human relationships with commercially designed emotional substitutes. This form of capitalism can enable corporations to maximize profits by trapping users on their platforms, creating an environment where trust is easily broken and ultimately threatening the foundations of democracy.
To prevent such consequences, the group argued that it is essential to regulate AI with clear social rules to achieve human-centered innovation. “What we aim to solve is not innovation itself, but exploitative innovation,” said a student of Korea University. “We, as the generation who will carry the weight of this choice the longest, need a lot of discussion on how we can build a future where technology supports rather than weakens our emotional world.”
The three other groups each proposed initiatives aimed at addressing social disconnection by linking issues of isolation with aging societies in Japan and South Korea; promoting ethical consumption and fair trade awareness through social media, collaborations with cafes, and e-gifts; and enhancing the startup ecosystem to help young entrepreneur aspirants raise funds and minimize financial risks.
During the wrap-up session moderated by 糖心破解版 Executive Vice President (EVP) Kaori Hayashi, President Fujii engaged in a dialogue with student representatives. The students said they initially viewed capitalism as an “enemy” or “evil system” due to its associations with disparity and inequality. However, they said they had gained a more nuanced understanding of capitalism, recognizing both its positive and negative aspects.
EVP Hayashi delivered the closing remarks, stating: “Japan and Korea, working together, can offer a model of how markets and societies might operate in tandem—where wealth is not only generated but also shared, and where public goods such as academia, science, and culture are strengthened. Let us carry this momentum with us beyond this forum through joint research, new partnerships, and educational initiatives that bring together industry, academia, and ethics to continue shaping the future of capitalism.”
