Press translations [Japan]. Editorial Series 0101, 1945-12-17.

Full Translation:

In the four months following the war the Headquarters' directives concerning our economy seem to have come to an end. The only problem which Allied Headquarters has not yet clarified is that of reparations. In this connection Mr. PAULEY's interim report published on Friday is very important because of its comparative concreteness, though far from showing all angles of the problem. We, the Japanese nation, are firmly determined not to rent at another BEARL HARBOR. Therefore, no one protests against the removal of all equipment built up only for the purpose of manufacturing munitions. It is not presumptuous to say that Mr. PAULEY spoke in our behalf when he said in the interim report that the first object of the reparations is to make impossible a militaristic comeback of JAPAN. Moreover, as is stated in the report, the removal of all equipment for munitions production is not incompatible with the economic stability and democratic development of JAPAN.

Financial circles were anxious, even during the war, that over-expanded equipment of munitions might remain surplus after the war. Even if the war had ended in our victory, the surplus would have been removed by a great panic or an everlasting business depression. Its removal can be regarded as an anti-panic measure. The apparent question is what kind of equipment is considered surplus.

The estimation of the interim report is as follows:

• 1.Half the capacity for themanufacture of machine tools.
• 2.All equipment in Army and Navy arsenals and in aircraft plants.
• 3.All equipment which is net needed for repair of shipping essential to the occupation
• 4.All steel working capacity in excess of 2,500,000 tons per year.
• 5.Half of the coal-burning electric generating plants.
• 6.All contact process sulphuric acid plants and about half of both soda-ash plants and the caustic soda plants.

•   EDITORIAL SERIES: 101 (Continued) ITEM 1 (Continued)
• 7.All capacity for producing magnesium and aluminum.

The above is the surplus equipment for munitions production in the interim report. However, Mr. PAULEY adds that those removals will probably be below the total sum which the Allied Governments will eventually allocate to reparations.

The above report is not sufficient to indicate the American intention about the entirity of the reparations problem. But we can see her intention of reducing our productive capacity to that prior to the Manchurian Incident, since the report aims at cutting down our iron production to 2,500,000 tons, that of 1933. At the outset of the Incident, JAPAN had a population of 68 million which is 10 million fewer than the present. It will be difficult to sustain 10 million more people with the same productive capacity. But if a more equitable distribution of income is effectuated by the reform in land-ownership, the development of labor unions, the establishment of the war profit tax and the property tax, we shall prevent much lowering of the individual standard of living.

More important is the problem of how to fully utilize the remaining equipment. JAPAN has lost half of its territories. This loss means our forfeiture of a large part of necessary provisions and materials. Deprived of all overseas properties, we consequently have no overseas market under our control. The loss of territories and the impoverishment of the masses has greatly reduced the home-market. The removal of all shipping equipment will seriously affect our future foreign trade. Thus, present conditions for production are quite different from those during the Manchurian Incident. Instead they are rather similar to conditions prevailing during the Sino-Japanese War or the Russo-Japanese War. The difficulty lies in a rational utilization of the remaining equipment under such unfavorable conditions. In other words, the question is how to close the gap between productive equipment and the productive requirements. Speaking a little more concretely, our economy has become far more dependent on World economy than at the time of the Manchurian Incident, but our capacity for foreign trade has been extremely reduced.

How to solve this contradiction is one of our problems.

For the solution we must adjust to the utmost our economic structure, even though it may be very difficult. Although we doubt if the gap can be filled by ourselves, however successful we may be in such a readjustment. In this adjustment, we should solicit the Allies for their help and sincerity.

Summary:

There were many contributions from consumers to the Attorney General, condemning his order which strictly prohibited farmers from bartering. We farmers too, have some doubts about this ban[illegible]. At present, no farmer[illegible]can get his daily necessaries without bartering.

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EDITORIAL SERIES: 101 (Continued)

ITEM 2 (Continued)

Agricultural implements, manures, salts, matches, and even medical treatment have to he obtained by using polished rice as barter. Therefore, regulating this under a law would mean putting an end to these things vital to the farmer's livelihood. Of course, punishing those who trade one bag of polished rice for 1000 yen is another problem. If we could buy these things with money, regardless of the cost, we would not barter the rice at all, but would have [illegible]ppermost in our minds its shipment to help our fellow men. However, now we have no other way of living, but to barter.

We, farmers were deceived; for example, when we were told that after the shipment was completed we would get rice contributions in its place, but we never received them, also, our 1944 consideration money, which should have been given after the completion of the shipment, has not yet been received, although it is already time for our 1945 shipment.

Therefore, before punishing farmers who barter, the Attorney General should take rigorous measures against those who deceived us. (From a farmer living at the foot of Mt. TSUKUBA).

In answer to the letter "Students and Coal", I fully respect the students who have overcome many difficulties and have continued their studies since the war. I am asking the authorities concerned to cooperate by removing the hindrances on food, lodging, library, and transportation.

Secondly, in regard to the students mining co-operation, 200 AKITA Mining College students have utilized their winter vacations to go into the YUBARI and other coal mines. Still 1000 more are waiting for permission. For these students, the Education Department has made arrangements with different quarters, and the Supporters Association for Student Labor (KINRO GAKUTO KOENKAI) was rendered service together with the coal controlling committee. Supporters' Association will aid, having cautiously checked upon the various conditions, but it would assist only healthy experienced men and college students. who have long vacations. Otherwise it is better for the rest to take up other jobs. (From SEKIGUCHI, Takamoto, labor section chief of the Education Department).

Full Translation:

Supreme Headquarters issued a new directive ordering the Japanese Government to take measures to insure that those who till the soil shall have a more equal opportunity to enjoy the results of their labor. This is for the purpose of destroying the economic bondage which has enslaved the Japanese farmer during centuries of feudal oppression. We should fully understand that this new directive "orders the Japanese Government to effect a fundamental economic reform in conformity with the principles of the POTSDAM Declaration" and it is "one of the most fundamental polices of the Allies toward JAPAN, to enable her to enter the civilized world as a peace-respecting country in the future". The Japanese Government was also ordered to submit to Supreme Headquarters, on or before 15 March of next year, a program of farm land reform on the basis of the directive. The Land Reform Bill, now under deliberation in the Lower House, has already included many of themost fundamental points which should be contained in the program.

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EDITORIAL SERIES: 101 (Continued)

ITEM 3 (Continued)

The faithful discharge of the stipulations in the POTSDAM Declaration is a sacred duty imposed upon us who have been completely defeated. The Government and its representatives are directly responsible for this task. However, we cannot but doubt the Representatives' Cognizance of their duty, considering the little progress made attthe meeting of the Farm Land Reform Committee. Upon presentation of this bill, a member blamed the Government for proposing one of such importance at the Diet's short session, intimating that the Government was attempting to shift to the Diet the responsibility for the bill without having it go through the debating stage. Judging from the general applause he received, a majority of themembe[illegible]s seem to want an inconclusive debate on the bill.

Also, in the deliberation on the Labor Union Bill, we cannot anticipate zeal and seriousness on the part of the Representatives, even though the Labor Union Bill is another fundamental law for successful democratization of JAPAN. We do not like finding fault with you, the Representatives, but we can only advise you to refrain from old tactics which may easily cause the Allies and the Nation to doubt your earnestness and sencerity. Of course, prudence and completeness are needed in deliberation, but they should never prevent passage of a bill. In reality, we cannot prevent passage of the two bills since this is the responsibility of the Government and the Diet, as imposed by the POTSDAM Declaration. However, we must impress on our minds that a crow is black not because it is painted. Painted democracy is not democracy of our own creation. Therefore, the Japanese limits of democratization represented in the Farm Land Reform Bill and the Labor Union Bill should be, and is obliged to be, decided by the Diet's free will.

For all that, the Representatives are lacking in the spirit necessary to accept this responsibility. This is only because they are absorbed in preparations for the forthcoming general election. The most shameful is the Progressive Party which is the majority party. This same Party is said to be on the verge of dissolution because of complications involving the presidency. People with common sense cannot sanction the candidacy in the general election of those Representatives who endorsed the opening of the war, however audacious they may be. Speaking more precisely, the Nation is too pre-occupied with matters to be much concerned in the forth coming elections.

We cannot understand why neither the Government nor the Diet has the courage to come in contact with the actual life and feelings of the people. Though we expect much of the new Diet, we are rather surprised at the lackadaisical attitude of the second Cabinet, which does not itself fully recognize the complete defeat.

The Nation becomes more desperate when it sees that the Government will not follow by itself the way clearly shown in the POTSDAM Declaration, but waits for a directive by the Allies for every arising problem. For example, such measures as the abolition of the Special Higher Police, suspension of payments of pensions for ex-servicemen, presentation of the long term program for food, self-supply, and so forth, should have been accomplished before the directives concerning those problesm were issued. The case is similar to the coal shortage. It is not the people but the Government itself which is absent-minded. The latter did not become aware of the serious situation until warned by the Allies.

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