ITEM 1 Now Deflation Feared - Mainichi Shimbun - 27 Nov 45. Translator: S. Okuyama.

Full translation:

The latest directive of the Allied Headquarters, as the Finance Minister says, "has determined the outcome of the issues and given the economic world wandering in quest of its future course a ground on which to depend in the large sense." For a fundamental readjustment of our postwar finance, there was no alternative, but it appeared to be too difficult for this country to accomplish with its own hands. Our country should have proposed it itself without waiting for the Allied Headquarters' directive and there were good indications of a trend toward such an autonomous proposal. But judging from all prevailing conditions, it was difficult after all. One reason is that JAPAN is rendered spiritless by the defeat in the war, but the financial history of the world shows that it is most difficult for a country in such circumstances to daringly resort to such a measure, even if public opinion agrees on the absolute necessity of the measure, before the financial bankruptcy becomes decisive. It is on account of the Allied Headquarters that Japan could pass through the difficulty.

However, the Allied Headquarters did not take this measure for its goodwill toward JAPAN. The objective was to clarify to the Japanese people that war does not pay. The directive means to confiscate the entire war profit, assess a high gradated property tax and suspend pensions for the soldiers. We feel indebted to the measure of the Allied Headquarters because we see favorable influences to be given thereby to the future of Japanese finance. It is from now on that the people will begin to feel cold severity. Of course, the larger portions of the national bonds will be redeemed by means of the war profit tax and property tax, and the suspension of interest payment and soldiers' pensions will compass the expenditures with the result that the 1946 Budget and those f later years will have a fair balance.

The fear of inflation has now been got rid of but on the contrary, it promises deflation. The trouble in such a case is that relief inflation has been blocked. A system of permission has been adopted for expenditures in addition to fixed expenditures. The permission system is never meant to be a system of prohibition, but it is undeniable that deflation relief measures have become tight. It is trying for one to have stripped of one's property or one's right to property but it is more trying for one to have one's means to new funds restricted.

In short, the Japanese Government has been stripped of its right to finance. It is pathetic but it is a grim reality born of defeat. It is no use depending on the Government without its financial right.

EDITORIAL SERIES: 41 (Continued)

ITEM 1 (Continued)

One has to attain rehabilitation by one's own hands. No one can hope to depend on a single yen of subsidy. What we must remember deeply at this time is the acute experience of deflation which we had in the years of 1930 and 1931. That depression itself was the direct cause of the Manchurian Incident end important motives for the CHINA Affair and the War. In the coming case whatever difficulties our industry and economy may suffer, they cannot hope to find an outlet in areas outside the country. Who can guarantee that the deflation that will come from defeat will not be severe? The tiger in front of the house, that is, destructive inflation, has fled but the wolf, that is, the rapid march of deflation, has come at the back of the house.

ITEM 2 Sweep Away Barbarism Thoroughly - Nippon Sangyo Keizai - 28 Nov 45. Translator: K. Nobunaga.

Extracts:

Brigadier General CR[illegible]R, divisional commander of the 24th Infantry in SHIKOKU has lately given the following order to all policemen of SHIKOKU. "We witnessed a policeman stop a Japanese child end cruelly strike him in the face with all his might. Such violence must cease immediately. If such cruel deeds are repeated American Military Police will at once arrest the policeman." We must not let this pass over as a local affair, we must completely sweep away such barbarism which surrounds us.

During the War it occurred that a girl was assaulted by two officers on the grounds that she was wearing high heels and skirt. In a country-town even after the defeat we saw a girl wearing high heels and skirt, reviled by three officers, "We were defeated because of people like you." and beaten by them. Many such affairs have also occurred in other places. Sued violence was to be found everywhere, whoever despised such a cheap and brutal attitude, was nevertheless compelled to conform through violence.

The barbarism of the authorities toward liberal thinkers and participants in political movements should be thoroughly investigated and prosecuted. Moreover, violence committed on the streets should also be completely eliminated as an antidemocratic barbarism.

It is natural that in AMERICA a woman can travel alone throughout the country. But in our country we are ass[illegible]ilted merely for wearing high heels and skirts. ISHIKAWA, Takuboku also decried these terroristic acts, and expressed his indignation when liberal voices were made silent by force. Now we have freedom of speech, we can fight with words and those who disagree with us retaliate in kind. Nevertheless, our people have a tendency to use violence, sometimes openly, sometimes through carefully made plots, we should a thoroughly eliminate of such barbarism. This propensity of our people for using violence is a vestige of the feudal era when human beings were treated like animals.

We must not think that we have as yet absorbed in our blood the democratic spirit which has a deep love for life and great respect for human values. Look at the design of the cigarette cases sold in the American Army as an example. The beauty of the design shows how earnestly Americans love and enjoy their lives. But the Japanese despise even to pay attention to the harmony of colour in dressing. As we make light of our lives and consider human beings cheap, we should decisively exclude such barbarism which threatens democracy. Let us strengthen more and more the democratic way, and let us outlaw barbarism.

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EDITORIAL SERIES: 41 (Continued)

ITEM 3 The Question of Wartime Indemnities - Mainichi Shimbun - 28 Nov 45. Translator: B. Ishibashi.

Full translation:

The policy of the Allied Headquarters is extremely plain and concise in unfolding its intention to impress the Japanese people by severe facts, with the lesson of "no profits through war". The SHIDEHARA Cabinet translates it into a very indirect and complicated policy. If it is not a mistaken translation, it is at least a bad one.

For instance, the Public Relations Office of Allied Headquarters' order for the establishment of a wartime profit tax etc. is directed against the war-made millionaires of the munition factories. Of course it is not bad to establish new taxes in order to wipe out illegitimate profits, but it would have been a shorter road to .minimize their profits. The freezing of national funds is, needless to say, to suspend payment for 32 billion yen in indemnities to the munition factories. Nevertheless, the present Cabinet intends, first, to let then make larger profits, giving then the promised indemnities, and then, to impose upon then new taxes. With such thinking, it is a matter of course that the Allied Headquarters' order will become more severe. Furthermore, even regarding the property tax and wartime profit tax, there is room for discussion. Both taxes, if they are to be applied to redeem public loans, would benefit only the banking organizations which possess most of the loans.

Contemplating these matters, we will be clear as to why SHIBUSAWA came to office as Finance Minister at this time. The great NAKAJIMA HIKOKI Company Ltd. is capitalized at 45,000,000 yen, which is very small from the point of view of its position among our airplane industries. Its debts to the KOGYO BANK amount to the colossal sum of 2.5 billion yen.

If the government indemnities were paid it, the company would be able to clear off its debts and still colossal profit would remain in its pockets. If these gains had to be returned completely to the Government by the execution of the new taxes, it would be no use for it to receive these indemnities. We want to know why the Government is showing so much earnestness in paying these indemnities.

It is reasonable to say that if the indemnities were not paid, the munition enterprisers would not be able to pay off their bank debts, which may trouble the general depositors. However, since there are means to avoid this trouble, the reason cannot be a valid one.

ITEM 4 The Farm Land Reform Bill and Farmers' Scientific Knowledge - Tokyo Shimbun - 28 Nov 45. Translator: K. Hirata.

Full translation:

The Farm Land Reform Bill drafted by the Agriculture and Forestry Ministry underwent some amendments, so that landlords are permitted to retain an average of five chobu of land, an increase of two chobu over the amount permitted in the original bill. At any rate, it is hardly necessary to say that the reform, bill forms a basis for democratization of our farming communities or is an epoch-making measure. Although conservative in idea, nobody will deny that it is a counter-measure not only necessary for the current food crisis, but fundamentally essential to the solution of our future food question. Tenants, 70 per cent of

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EDITORIAL SERIES: 41 (Continued)

ITEM 4 (Continued)

all farmers in the country, will thus come to own land or be permitted to pay in cash to landowners. Therefore they are expected to do their utmost for production.

It is well known that hitherto most of our tenants have been idle, lacking enthusiasm for production because of the extremely high rates of farm rents. It is natural that they could not help being idle since they had to pay as much as they produced. However, once the reform bill passes the Diet, they will be emancipated from the long years of oppression, and when set free, they will not be as idle as before. They are sure to do their utmost for production as diligent farmers.

As a result of surrender, we have lost FORMOSA and KOREA. Still worse, our population has increased to nearly 80 million. Therefore, it is beyond, the realm of argument that we must strive to increase agricultural products by intensive cultivation of land. In regard to this, we want our farmers to proceed with scientific study and to strive for the promotion of agricultural techniques. Thanks to the Farm Land Reform Bill, most farmers will soon learn how to love land by owning their own land. Therefore, they must be careful of the land given to them and use scientific management of farming as well as the promotion of productive technique. For this purpose, it is necessary to increase scientific knowledge among our farmers and introduce scientific agricultural management and technique into our faming communities.

The aim of the Reform Bill contemplates the stabilization of the farmers' livelihood. If so, farmers must realize their responsibility deeply and strive to be more diligent than ever. If they do not cease to be idle or think about anything but personal benefits without realizing the real intention of the reform, it is hardly necessary to say that they will be the target of adverse criticism by the rest of the nation. It can not be said that the reform sets farmers completely free from all oppression. Nevertheless it is not only their chance but their duty to fulfil their mission of solving the food question by devoting themselves to scientific management of farming as well as the mechanization of agricultural techniques. In this, it is absolutely necessary that our farmers themselves strive to raise their own standards of scientific knowledge.

ITEM 5 New Form of Our Politics - Asahi Shimbun - 28 Nov 45. Translator: I. Kuniko.

We cannot doubt that JAPAN is a constitutional monarchy. It is the essential beauty of our national polity that in our country, though a Monarchy, the Emperor's will is that of the Nation, and sovereign and subjects are inseparably united as one. We have not heard that during the past 2600 years, the successive Emperors have been oppressive or autocratic, and so, nominally being a monarchy, JAPAN is substantially a democratic monarchy. Therefore, in the execution of the POTSDAM Declaration, we are not in need of revolutionizing our polity and will be able to fulfil the Declaration by making use of our original body politic.

The Emperor MEIJI, in the Five Articles of the Imperial Oath, declared that, "All measures of government shall be discussed generally and decided by public opinion." This declaration was a basis for the Imperial Constitution granted by the Emperor. It goes Without saying that a democratic polity is in accord with our traditional idea.

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EDITORIAL SERIES: 41 (Continued)

ITEM 5 (Continued)

But, unfortunately, for the past 10 or more years, JAPAN has been ruled autocratically by militarists and bureaucrats. On this occasion, by wholesale purging of the minor privileged classes, our nation should rebuild a constitutional monarchy for the newly-born state.

The politics that are decided on by public opinion should be party politics. We can create public opinion only by the existence of political parties. As there are many opinions in society, more than two parties are necessary to combine and adjust them, and the duty of every party is to lead to one conclusion. This is a constitutional state. Therefore, party politics should be for the public. In this sense, the Government, by carrying out the election as quickly as possible, should let a major party take the reins of government. If there be persons who plot to revolutionize the country, they do not recognize the real condition of' our nation.

JAPAN is a moral country. For the past 2,600 years, the nation has worshipped the Emperors as the head of our family, and the successive Emperors also have been humane and peaceful to both their own and foreign countries.

We are very sorry that in late years our country has been stigmatized as an aggressor or imperialist. This has been neither the Emperor's will nor the nation's wish. It is a consequence of the feudal behavior of such minor privileged classes as militarists and bureaucrats. They have disregarded the will of the Emperor and violated our freedom of speech. The army and navy, commanded by the Emperor, existed essentially to insure peace, and our ancestors had promoted national interests and welfare through the Emperor's government. The majority of the nation, I believe, desires proper government by the Emperor and opposes absolutely the discontinuance of an Emperor system.

This national belief is not only traditional, but comes from the fact that JAPAN is substantially a peace-loving and homelike country. However it cannot be denied that there are a few among us who are entertaining misgivings as to this homelike country. Do not most of then want to play the tyrant by misusing the Imperial orders rather than to oppose government by the Emperor? That the nation was led into the Greater East Asia War is only one of those deep-rooted evils.

On this occasion our forces have been dissolved. To unite the Emperor and nation, we must firmly reorganize the laws, systems, and official circles, not to speak of the constitution. Such restrictive rules as the Peace Regulations, the Wartime Special Criminal Law, the Peacetime Police Law and others have been abolished or are being deleted. The national rights and freedom of speech, assembly, association, publication and others have been recovered. At the same time we should not forget that a right is a half of a duty, and liberty one side of order.

The Supreme Headquarters has stated that it is not going to force either American or English democracy on JAPAN, but wishes us to build a Japanese democracy as rapidly as possible. We should choose and adopt a policy that will fit our nationality. It is the gist of my declaration that we should firmly exclude all the obstacles to realization of a democracy by which sovereign and subjects are inseparably united as one body. In a word, not destruction, but construction.

(MIYASAWA, Yutaka, Member of Parliament)

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