Takenaka was the second son of a shoe seller in Wakayama City. He attended Hitotsubashi University to study under Ichiro Nakayama and graduated with a BA in Economics in 1973. While at Hitotsubashi, he played the mandolin, and met his wife through his mandolin club. In 1973, Takenaka entered the Development Bank of Japan. He was transferred into its Institute for Capital Investment Studies in 1977. In 1981, he left the DBJ to study for a year at Harvard University and the University of Pennsylvania, where he researched capital investment in the United States. The product of his research, the 1984 bookDevelopment Studies and Capital Expenditure Economics, won the Suntory Liberal Arts Prize. Takenaka then worked in the Ministry of Finance as a money supply researcher. He initially planned to stay for two years, but ended up working there for five years, from 1982 to 1987. He later completed his Ph.D. at Osaka University. He taught as an associate professor at Osaka and Harvard, and received tenure in the Faculty of Policy Management of Keio University SFC.
Political life
Takenaka was picked by Koizumi to become the Minister of State for Economic and Fiscal Policy in 2001. In this capacity, Takenaka has become one of the most prominent voices in the ongoing debate over the privatization and breakup of Japan Post. In 2002 he became Minister of State for Financial Services as well. In this capacity he was the author of the Takenaka Plan, which successfully tackled Japan's banking crisis. One of his biggest accomplishments was to change attitudes within the financial industry, including auditors who had previously rubber-stamped bank earnings reports that understated the size of bad loans. A turning point came in May 2003, when auditors refused to approve the earnings statement of Resona Bank, forcing the bank to seek a $17 billion bailout from the Japanese government. Takenaka won his first election in 2004 and held a proportional representation seat in the House of Councillors. After Koizumi's Liberal Democratic Party crushing victory in the 2005 General Election, Takenaka assumed his last position as Minister of Internal Affairs and Communications, in charge of Japan Post privatization. He further attempted to privatize the national public broadcaster NHK but Koizumi did not agree and the attempt was stalled. On 15 September 2005, he announced his retirement from politics. On 28 September his resignation from the House of Councillors was permitted. On 29 September, he submitted a resignation letter to the Liberal Democratic Party, which was agreed on 11 November. On the same day his return to Keio University was disclosed. Now, he is the Chairman of Pasona.
