Prefectural Life Tables have been constructed periodically by the Statistics and Information Department, Ministry of Health and Welfare, in every 5 years since 1965. Because of the lack of stability in age-specific death rates for small areas, life tables for municipal units are not successfully developed. In order to construct municipal life tables, it is crucial to stabilize age-specific death rates for small areas. For this purpose, it has been shown that Bayesian statistics provides a very useful tool. A study group, of which the authors are the members, was organized by Prof. Yukio Suzuki, emeritus professor for university of Tokyo, to apply the Bayesian approach for the first time to construct life tables in Japan. As the product of the group, "Municipal Life Tables 1985" was published in April 1989 by the Health and Welfare Statistics Association. In this paper, we first discuss methodology in applying Bayesian statistics to the construction of life table for small areas. Secondly, the effects of a Bayesian approach are shown in comparison with ordinary approach. Using the municipal life tables, regional death levels are also analysed to show new evidences. In 'Municipial Life Tables 1985', we used data of 5 years between 1983 and 1987. Every prefecture is divided into two districts:urban and rural, and death probabilities of the urban/rural district are used as informative prior to estimste death probabilities by sex and age class for each municipality within the district. As the result of applying Bayesian approach, these death probabilities are stabilized remarkably, and in almost all of the municipalities, the standard deviations for expectation of life at birth are within 0.5 years. It is also shown that the effectiveness of Bayesian statistics in reducing these standard deviations is especially remarkable for small municipalities. In pursuit of real death level in various areas, it is proved that municipalities in some specific areas enjoy long expectation of life and others not. This kind of new evidence is one of those which the municipal life tables alone provide.
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