Should the Number of Government Officials be Reduced?

Reducing a government official's number and salary for the expenditure curtailment of a country is called for. However, is it right for a country to apply a burden to the government official who performs indispensable work?

The Number of Government Officials' Reduction

The government official's personnel reduction is advanced as a way out of financial difficulties. If surely the personnel is reduced in a government official, the part finances of the personnel expenses will be recovered. However, it leads also to reduction in a job opportunity. Especially in the rural areas where the unemployment rate is increasing, the plan which increases a public job and secures employment leads to the measure against jobless people, or improvement in economic recovery and the peace. However, as for the government official, welfare in recent years and the quantity of the work to a growth strategy sake are increasing. It is unequal that a salary falls although the labor force which the government official offers is increasing. You should privatize public works, in order to solve it. As a result, a government official's work is reduced, and the whole staffs can be reduced.

Government Officials' Salary Reduction

The local grant taxes of about 400 billion yen were reduced for the first time in six years on the assumption that a local civil servant salary will be reduced just like a national civil servant from July in a government budget draft in the 2013 fiscal year. Although it was increasing for the past three years, the influence of enactment of the bill which reduces by an average of 7-8%, and carries out a local civil servant's salary just like a national civil servant is great. Although the local civil servant side naturally opposed, its way was forced after all by the intention by the side of the government, and it was accepted. While a local government tax revenue hangs low in slow increase of domestic economy, there is also a field which floated the national bond and where the country has taken over local fund shortage after the collapse of the 'bubble' economy. While the financial situation of a country gets worse rapidly, local outstanding national government debt does not increase, but the financial situation is comparatively stable especially recently. Although efforts for rationalization, such as personnel reduction by the side of rural areas, are a major factor, the government which aims at fiscal reconstruction is not considered to return a national civil servants salary simply, but will also ask rural areas for reduction succeeding.

Is Futenma Air Station Beneficial to Okinawan?

The Futenma Air Station problem of Okinawa is again taken up bordering by the argument of osprey disposition. Why is the fact that there is a U.S. base made an issue of, so far?

 

Beginning of the Futenma Air Station problem

The U.S. Forces have been doing forcible detainer of Futenma Air Station since the outbreak of Battle of Okinawa. Therefore, there is no correspondence with a landowner and, the U.S. Forces occupied unilaterally. Then, negotiation with a landowner and the obligation of land rent payment arose in the U.S. Forces by effectuation of Peace Treaty signed in San Francisco on April 28, 1952. However, many landowners refused the contract with the U.S. from the low price of the land rent. Then, the official announcement which performs compulsive requisition was taken out, and residents' antipathy was incurred. The contract problem of this land that continues till the present is the beginning of problems of American military bases.

 

 

 

 

Training of the U.S. Forces and residents' reaction

Low-altitude circuitous flying training on the residential section by a helicopter where it is the most dangerous and noise is also very loud is performed frequently. Training is implemented regardless of time during night from early morning. Since it is revolution training, a 5-minute interval or more frequently, a helicopter passes through the revolution point, and it is continued for 1 to 3 hours. In addition to this, although a number has little, landing-and-departure training of a jet fighter, etc., is executed. And since those training is not told to residents in advance, they are often surprised at sudden training. It seems that there are many people who are afraid for their falling at night etc. rather than anger.

 

 

Danger of osprey

The big accident continued during development and osprey has attracted attention at every time. After battle disposition is carried out in 2007, the accident is already caused several times. The opposite voice of arranging such an airplane like this with many accidents in Futenma Air Station where it is crowded with population has mounted. It seems that the occurrences of an accident at the time of taking off and landing is calling concern especially. However, the osprey with a long cruising range is indispensable to national defense of Japan. Although the probability of occurrence of an accident cannot be completely set to 0, considering a risk of generating by not arranging osprey, it cannot oppose easily.

Necessity of a U.S. Base

The military power of the present Self-Defense Forces is called world top class, in addition to this, the U.S. Armed Forces in Japan are also stationed, but why is the military power so far required? Conversely, war will not occur just because there is military power. And even if war occurs, it is absolutely impossible to keep protecting Japan only in the Self-Defense Forces. There is Article 9 of the constitution in Japan and it has forbidden holding the military power for invading to a partner's country across the sea.And there is no ammunition which can continue a battle only about one week in the Self-Defense Forces. Now, when the enemy countries have attacked Japan, for example, Japan is attacked by them, and is invaded someday. However, there is a Japan-U.S. alliance and the U.S. Armed Forces in Japan. It is considered that it is declaration of war to the United States to devise war to Japan, and the United States conduct counterattack instead of Japan.

  

Does Social Security of Japan Fail?

It is fresh in memory that unjust receipt of public assistance became a problem recently. Then, a theme called the breakdown of social security of Japan was often treated.

 

Source-of-Revenue Pressure of Social Security Cost

The total amount of the social security cost in 2012 is 26 trillion yen. This is equivalent to 52% of general expenditures of Japan. Furthermore, this is equal to the total revenue amount of an income tax, a corporation tax, and a consumption tax, i.e., the three major taxes. Moreover, this expense increases about 1 trillion yen respectively every year. It is used for social security cost mainly maintaining indispensable public services, such as welfare allowances, a pension, medical expenses, and care welfare expenses. And this problem is deeply concerned with a low-birthrate-and-longevity problem, an issue of increasing the consumption tax, etc.

 

 

 

The problem of public assistance

Welfare allowances are often made a victim noting that it is comparatively reducible. This is about 4 trillion yen in total, and is small compared with other expenses, such as medical expenses (30 trillion) and a pension (50 trillion). It is because the fact that this expense is still discussed for the problem of unjust receipt and really required person cannot be offering sufficient support. 25,000 affairs will become clear about unjust receipt in 2010, and it will be said that the total amount exceeds 12,800 million yen. And, 2,110,000 people's unjust receipt became clear in 2012 more. Although there is an example like this, it has not resulted, since it turns out that the police does not often charge or the gang is concerned in the back. On the other hand, the rate that welfare allowances occupy in a national budget of Japan is low. Japan is 0.3% so much in the United States (3.7%), Britain (4.1%), and Germany (2.0%). And it is also a fact that there are those who are in pain without the ability to actually lead a minimum life. Thus, both to increase about welfare allowances and to reduce are required.

 

Maintenance of a pension system

                                                         

The pension of Japan serves as the simple system that the generation's young man supports elderly people. Therefore, at the present aged society, this system consumes financial funds in the amount of money as the several times of income. A pension system is a system materialized at the time when man's life expectancy is shorter than now, and the amount of money paid is even now computed in a formula of those days. For example, when it was around 1980, one old man was supported by 7 to 8 persons. However, you have to support one old man by 3 to 4 young men now. The burden rate is formed into 2 twice compared with about 30-year before. The burden rate per young man continues to increase. Thus, the structure of the pension system itself has unreasonableness. In this situation, it is certain that the increase in raising of pension eligibility age, a substantial reduction of pension obligation fees, and the working population's pension obligation fees is someday performed. However, if this is performed, a great burden will be applied to a young man, or it will interfere with elderly people's life. So, the pension system is holding complicated dilemma now.

 

 

 

 

 

 

Subject of Aging Society

A social security system collapses due to low birthrate and longevity. Such pessimism is circulated focusing on young generation. It is said that one elderly people must be supported by the one working population in 40 years, and the conflicting emotions between generations are also becoming strong steadily. Can a super-aged society be overcome?

 

Problem of Aging Society

1.    Reduction in the work force

With reduction in productive population, while the labor force participation rate has been the present condition, the work force will also decrease from now on. In the situation on which the work force decreases, it is required to raise productivity first and to strengthen a growth potential. Especially, the influence that reduction of the productive population of Japan in 2030 and afterwards is greatly and cannot be made light of.

 

2.    Aging of a community

The annual number of birth will be about 700,000 people in 2030, and will be under 500,000 people in 2055, the number of the children who see in the daytime a weekday decreases, and, also in terms of the support hand of a community, an old man comes to play a central role. Moreover, even if in a child's position, a living environment with many friends is no longer maintained, and in the society as a whole, the successor of culture decreases and it becomes difficult to have a hope to the future.

 

3.    Sustainable-social-security system

As for about 70% of the present social security benefits, elderly people are allotted. Since aging of population has increased, the working population's burden have increased every year. Therefore to reservation of the balance of grant and a burden, and the unfair correction between generations are called for. In order to be subject to very big influence by a design of institutional arrangements by progress of low birthrate and longevity, it is necessary to make a pension, medical treatment, and care into a maintainable design of institutional arrangements.

 

How to Solve Low Birthrate and Longevity

The bearer of social security is a worker which works and earns money. Aged 65 and over is working twenty percent. Conversely, about 30 percent is not starting work, specially the woman of a child-rearing in the working population.Therefore, to improve the environment which a woman and elderly people tend to commit and turning them a bearer is good solution. In order to convert into the mechanism of being able to be equal to low birthrate and longevity, reexamination of employment is just a problem of the utmost importance. Furthermore,to reduce the burden of bearing child, it is required that all education expenses is as a national burden, and to change the tuition of a university into free service. Moreover, it is needed that business is recovered and regular employment of a new graduate is increased sharply, and child-rearing environment is improved so that it can have two incomes.

 

It is according to a future measure what happens to the future of social security. It is important to advance a measure steadily, without becoming pessimis

Re-Operation of Nuclear Power Plant is Dangerous?

Two years are about to pass since the Great East Japan Earthquake. Now, big electric power need for revival, therefore the argument on nuclear power plant re-operation is overheated.

Comparison with Other Power Plants of Safety

As for the nuclear power plant, the safety is regarded as questionable as there was an accident of the Fukushima nuclear power plant. When it separates from management of man by a certain way, meltdown is started when the worst. However, what kind of result is obtained in this as compared with other power generation methods? For example, many metal miners have died from coal extraction at coal-fired power generation. In the inside of a coal tunnel, the particulates of coal are dancing, and there is a risk of burning explosively by some rhythm. Even if it is not an accident from explosion a miner will be exposed to a dangerous state by spouted water or emitted gas on the underground. There was a coal mine accident in which 100 or more persons are killed in even in recent Japan repeatedly. Now, in the world, no less than 30,000 people pass away in the coal mine accident every year. Compared with this, the nuclear power plant has the track record outstanding in respect of the fatal accident, about tens of people who are the fire brigade member or the soldier were only directly killed in the Chernobyl accident. In a Chernobyl accident, since citizens' death increased by the rise of cancer cases, it is presumed that 4000 persons were killed in the accident. The accident has occurred more frequently than a nuclear power plant disaster, and immense damage has come not only out of coal but out of mining of oil at every time by sea pollution etc.

Economical Consideration of Nuclear Power Plant

It is said that the power costs of a nuclear power plant are often cheap, however is it truth? When power costs including construction costs, a maintenance cost, etc. of plant are compared, there is almost no difference of a nuclear power plant and thermal power generation. Power costs per kWh of nuclear power plant is about 8.9 yen, coal fire power is about 11.2 yen, hydraulic power is about 9.6 yen and LNG fire power is about 10.6 yen. And a nuclear power plant-related subsidy, such as a nuclear fuel cycle paid for a tax, is not contained in this trial calculation. In fact, the power costs of the nuclear power plant are large with such a tax. However, since the fuel cost itself becomes cheap, an electric power company wants to re-work the nuclear power plant in which power costs are lower than fire power. The situation where the messages of the nuclear power plant promotion by an electric power company "nuclear power generation is safe and clean" are sent in large quantities has been built through mass media. However, when abolition or the situation where it does not re-work continues a nuclear power plant, stagnation of Japanese economy may be caused. In addition to the shortage of electric power supplies, all the nuclear power plant stops of each electric power company caused increase in power rates, and have dealt a big blow to the industrial world. A little influence of a nuclear power plant stop is expanded not only to secondary industry, such as automotive manufacturing, but to primary industry, such as agriculture, and tertiary industry.

Overseas Relocation Makes Profits?

The concern over deindustrialization has become strong ignited by the Great East Japan Earthquake. First of all, why does a company establish a subsidiary in a foreign country?

Market Expansion Type Oversease Relocation

There are two patterns in the overseas expansion of Japanese companies. It is whether  relocate as a seller, or to relocate as a maker. Relocating as a seller, i.e., product, and build a sales base abroad. The high-growth era was the time when this just began. If cheap and good goods are made, it will attract attention also overseas, and will begin export via a trading company. And distributor is found abroad, when volume of sales is increased, an overseas subsidiary is established and expanded, and it is begun to make the product of specification for overseas. In such cases, it is mainly business and a marketing department that is engaged in foreign operations, and it is restricted to production-model products as a kind of goods. Therefore, Japanese people are only in an overseas branch as an administrator, and the center of corporate activity is established in Japan in many cases.

Factory Extensive Type Oversease Relocation

Another overseas expansion pattern is the advance as a maker, i.e., overseas factory deployment. Since part supplier shifts abroad to compensate for a major manufacturer doing overseas expansion, the companies may be made to shift abroad in the form that they are not willing. Or they tries to move a factory to overseas themself. Conversely, why doesn't it have a factory in Japan? To close to the place of production of materials, it is surely one reason. It is more rational than to spend transportation cost to carry materials to Japan for the steel industry, medicine business, etc. which are greatly dependent on materials by the material industry to manufacture there. On the contrary, there is a reason for building an overseas factory, since it is close to a consumer place. If cheap mass consumption goods are carried from Japan, they are inefficient. Making there and selling there is also one method. In this case, the product for Japanese markets will be made in Japan.

Reason for Avoiding Japan

Also besides having stated in the top, there is an enterprise with which is most elated at Japan's manufacturing industry, and most anxious about an overseas outflow. It is a high-value-added product which requires production technology, need to receives customer's noisy liking, and its specification is various. In Japan, overseas relocation of a factory has been large fashion since the depression of the 90s. It is a simple reason of since the manufacturing cost is cheap in almost cases. The cost of high-value-added product consists of a material cost, labor costs, and expenses. A labor-cost ratio is overwhelmingly large in it, therefore, a price changes in most proportion to the increase and decrease. It is also a risk of quality or a dead stock, and low wages of exchange.On the other hand, the phenomenon called Japanese revolution of the manufacturing industry has also occurred. Even though it is performing many manufacturing processes in foreign countries, it is because the metal parts which require high accuracy still must be manufactured in Japan. Furthermore, in order to meet various needs, carrying out the neighborhood of the spot of design to manufacture more is also thought as important.

Why Does a Strong Yen Receive Attentions?

Recently, the price movement of the exchange rate of the yen is frequently treated on a newspaper, television, etc. In this time, let’s consider the influence of strong yen and happening why.

What is Strong Yen?

The relative value over the other currency of the Japanese yen goes up, and a strong yen refers to the state where the Japanese yen of one unit can exchange for many other currencies. As the Japanese yen of the same amount of money, in the case of $1=80 yen, more dollars can be got and the direction of $1=100 yen will call it a strong yen. Conversely, in the case of 1 dollar = 100 yen, fewer dollars will be got, and it will call them a weak yen. In the two above-mentioned cases, if the price level of Las Vegas is the same, a strong yen make more shopping using the Japanese yen of the same frame, and with low yen, only shopping less than that will be made. It will become glad, if it is a strong yen when you go to travel abroad. Conversely, since same dollar is exchangeable for much Japanese yen if it is a weak yen, for the tourist from overseas, it becomes a desirable situation and the sightseeing industry of Japan profits.

Influence of Strong Yen

What is noticed most simply as influence of a strong yen is a bad influence to an exporter. When a strong yen occurs and the value of yen becomes high, it means that the price of Japanese goods rises for overseas people. As a result, Japanese goods become difficult to sell and export value decreases. The exporter whose sales decreased is pressed for cost reduction, and is connected to payroll reduction of the employees who work there. Furthermore, since it becomes the downward pressure of prices, it is worried also about the influence on deflation. On the other hand, what is the good influence by a strong yen? On the contrary, it is that the import price from overseas becomes cheap. For this reason, for the manufacturing industry which has imported and processed resources, materials, etc. from foreign country, the cost price can be held down low and it is connected to the profit rise. Moreover, also when Japanese companies march out to the United States and Asian nations, such as China, they can buy the land of the spot at a low price, or there are also merits, such as becoming easy to carry out company buyout. And so the phenomenon similar to this has occurred also in the tourist industry.

Cause of Strong Yen

There are two factors of the present sharp rise of the yen. One is that it is a weak dollar by the U.S. quantitative easing policy, and that became weak Euro by the crisis of Euro and worth of the Japanese yen went up relatively. Secondly, it is only Japan which does not demote worth of currency although every country in the world has demoted it from door to door. If Japanese potential growth rate to be 2%, it is necessary to increase money supply 4~5% every year, but it is not doing. Therefore, failure of the financial policy of the Bank of Japan has caused a strong yen.