Press translations [Japan]. Economic Series 0242, 1946-02-01.

Full Translation:

According to the survey of the Ministry of Commerce and Industry, the actual production of rayon in the 3rd quarterly period of 1945 was 800,000 pounds, equal to 22 per cent of the expected production. The actual production of staple fibres in the same period is 3,040,000 pounds, equal to 33 per cent of the expected production. The monthly production figures are shown in the following table (in 10,000 pounds).

The Ministry of Commerce and Industry did not indicate the production for the 4th quarterly period of 1945, but expects a production of about 50 per cent of that of the former period.

Full Translation:

What salary would be enough to lead a normal daily life when the prices of rice and vegetables have risen and the railway fares are to be raised by threefold? As an answer to this question, the Central Wage Investigation Committee (CHUO CHIGIN IINKAI) of the Welfare Ministry, drew up a plan providing that the lowest wages be raised ten times and estimated the standard household expense at 450 yen. This plan will be submitted to the Cabinet meeting for approval. The cost of living for one month provided in the draft plan, will be regarded as a standard when demands for raises in wages and salaries are made. In this connection, the paper asked the opinion on minimum standards of living of OHASHI, Seiichi, who is managing director of the KYODO Publishing Company, and who participated in drawing up the draft.

His reply was: "Minimum wages are a social welfare measure against illegal cutting of wages by Capitalists. However, during the war, the highest wages were discussed instead, due to shortage of labor. This newly promulgated wages are calculated to prevent laborers from hunger, under the present strained situation when commodities are not produced, and factories are suspending their operation. "The wages which we proposed are calculated as the minimum standard of existence for a family of five."

ECONOMIC SERIES: 242 (Continued)

ITEM 2 (Continued)

According to OHASHI, the cost of food occupied 30 per cent of the total. Travel is estimated at, 15 yen, but no expenditure is calculated for culture. The proposed wages are the lowest practical minimum which barely assures prevention of malnutrition. This opposes the formula that the cost of foods of even the lowest class does not exceed 60 per cent of the total living cost. The chairman of the sub-committee said further, "If the price of rice is doubled as has often been discussed of late, the amount will rise to 465 yen. If the family buys fish and vegetables at the present high black market prices, the monthly living cost will exceed 1,000 yen. When the cost of cigarettes is calculated, it will amount to 1,500 yen a month. "Most of the people, however, receive incomes which are less than 450 yen, and they are obliged to consume their past savings. We aim to raise all such wages to this standard."

Mr. OHASHI pointed out the necessity of smooth and correct distribution of foods, and said, "Unless the Government determines not to let the prices soar further, it will be no use, for the lowest wages will have to be raised again.

"The lowest wages are provided to rescue the people from hunger, to improve the factory efficiency, and to produce collateral goods. It is inevitable that many factories will have to adjust their industries, on the ground that they can not employ so many laborers at such high wages. The time will come when the unemployment problems will become more serious. Those who cannot maintain their livelihood will increase rapidly. When such an occasion comes, it is impossible to solve the problem under the present Capitalistic structure of economy. This was the conclusion reached by us after six conferences conducted since 26 December last year."

Summary:

With the Government's recent decision to produce 1,491,000 tons of coal in the month of February, showing an increase of 371,000 tons over the minimum quota of 1,120,000 tons for January, authoritative quarters think that, in the current situation of transportation, there is an urgent need for emergency steps in the shipping of coal in order to attain this objective. Every part has been suffering from an acute shortage of coal stocks.

This has resulted in a considerable decrease in the coal quota throughout the country, especially for the eastern part of HONSHU, where only 37 per cent of the projected amount of coal arrived during the early part of January. The major reasons for this unfavorable result are ascribed to the slowdown of shipping due to the bad winter weather coupled with oil shortages.

In the KYUSHU area, the actual situation is the game although there are enough ports for shipping by large-type vessels, in MIIKE and "WAKAMATSU. These have only small amounts of coal stocks to be shipped. There are, however, abundant coal stocks in the small ports where facilities are not suitable for shipping by large-type vessels.

Such being the case, the NIPPON Coal Company (NIPPON SEKITAN KAISHA), in order to alleviate the coal shortage in eastern HONSHU, has taken

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ECONOMIC SERIES: 242 (Continued)

ITEM 3 (Continued)

the emergency step of giving priority for coal transportation to the eastern area. Also, drastic measures are now urged to be taken as soon as possible in distributing coal among the ports so that they may be able to carry out immediate shipment.

On the other hand, labor problems in every coal mine, thanks to the increase in wages and the increased food ration for miners, are now being solved quite satisfactorily. It is resulting in an upward trend in the employment of coal miners. However, since the bulk of recently employed workers are occasional workers, the opinion is gaining ground that such occasional workers should be replaced immediately by permanent ones. This would help greatly to stabilize coal production. It is equally important to establish welfare institutions for workers and to establish the sound labor union with the close co-operation between labor and management, so as to stimulate miners' willingness to carry out the increased production.

Full Translation:

The Bill for the Revision of the Bank of JAPAN, which is expected to be introduced to the forthcoming special Diet session, has been under deliberation by the First Section of the Monetary Circulation System Investigation Committee under the Finance Ministry. The main features of this revision are wiping out the nature of subordination to the Government, and the realization of the financial democratization by establishing an autonomous nature in its system. In a word, it is to change the present bank into a "bank of the bankers' " in a real sense.

In accordance with the realization of democratic spirit, there is to be a drastic curtailment of the items of sanction to be obtained from the Government and the autonomy of the Bank of JAPAN is to be established.

Instead of the present government capital, the capital of civil industrialists such as banks, insurance companies and trust companies is to be used in order to make the Bank of JAPAN a single united bank. Following this procedure the present private capital is to be transferred to the aforementioned financial organs.

Besides the present board of director's, officials of the bank will consist of people appointed by the different professional bodies, in the following proportion: The monetary circulation industry, 3 persons; agriculture, commerce, and industry, 3 persons; the consumers, 3 persons; The Bank of JAPAN, 7 persons. The entire membership will number 16. Further, to strengthen the decisive power of this combined council of the directors and participating officials, this agency will be empowered to decide on the appointment of the president and the vice president.

Dividends and the reserves will be deducted from profits. Then one-half of the remaining sum will be deducted. Lastly, the second reserve fund will be subtracted from the rest. Three-fourths of the balance will be allotted for the government payments and the remaining one-fourth will be carried over to the next account.

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ECONOMIC SESRIES: 242 (Continued)

ITEM 4 (Continued)

For the time being the present system will be continued, but in future, a Maximum Issue Limit Investigation Committee will be established. This committee will keep strict control of the issue limit.

The Second Section of The Monetary Circulation Investigation Committee under the Finance Ministry has been studying the problem of the future of the special banks. Concrete measures have been prepared for them except for the Hypothec Bank. According to these measures the YOKOHAMA Specie bank will be converted into an ordinary bank, abolishing the present Specie Bank Law, to carry on business as an ordinary bank, even in the transaction of money orders. The Hypothec Bank will be continued under the present Law of Hypothec Banks. It might be thrown into the rank of an ordinary bank, but that is not yet fully established. Rather the chances are strong that it will remain as it is. As for the Industrial Bank, there had been an opinion that it should be re-organized under the title of the Reconstruction Circulation Function (FUKKO KINYU KIKAN), but this opinion is no longer prevailing. The counter-measures for this problem ox conversion are under deliberation. However, there is no question that this bank will be converted into something or other. Probably it will be transformed into a new industrial firm, without any connection to the banking business.

DISTRIBUTION "X"

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