In this paper, first, examining critically an existing economic theory, we derived an economic logic that the modern capitalism dismantling non-capitalist elements becomes further pure in spite of the policy movement which is afraid of a crisis in the social system and intends to dismantle and protect alternately non-capitalist elements depending on a business cycle. Second, we showed the economic logic adjusts trends of the agricultural policy and the agricultural structure under the Japanese Basic Law on Food, Agriculture and Rural Areas of 1999. Thirdly, behind this phenomenon, we found the fact that farming is an enterprise investing in means of production and there is an inelastic character of agricultural employment structures of part-time farmers.

Nowadays, some studies have pointed out that retailers have strong buyer power in purchasing milk from processors, but there is not enough knowledge about the differences in market competitiveness by brands or by retailers. To consider the concrete policy implication of milk markets, I use microlevel data, and estimate demand function using the random coefficient logit model of Berry et al. (1995). It can control the endogeneity of price due to unobserved product characteristics. Then, I estimate demand elasticities by brand-retail combination at every prefecture-monthly level. Markup is recovered from demand estimates. The results show that NB milk has more markup than COOP or PB milk on average. By counterfactual simulation, I find that the 13％ NB milk in total has potentially negative cost-pass through. Finally, I demonstrate the geographical differences in pass-through rates.

Using theory of public law from the legal and discretionary viewpoints, this study examines the mechanisms of discretionary policy making and legal validity of agricultural policy under the former/current agricultural basic law. The agricultural policy under the former agricultural basic law, especially in the areas of rice production control and agricultural structure improvement projects, enabled administrative authority to deviate from the concept of the basic law through (a) budgetary measures that did not have legal basis and/or (b) notifications that had legal effect. Until recently, this has been the basic form of discretionary policy making, that actually led to inconsistency between agricultural policies and the concept of the former basic law. Even after the implementation of the new agricultural basic law, there still exist issues such that (1) active farmer measures conflicted with the provision of the basic law, (2) rice production control (for an increase in feed rice) has been carried out against the concept of the basic law, (3) public investment for agricultural infrastructure and rural areas exceeded the range of the basic law. It is now essential to reconsider the control system for administrative discretion in policy making.

We face several uncertainties everyday. Some of them are important issues affecting individual lives, daily life and properties, or social wealth. This paper reviewed empirical studies on public perception for uncertainty and decision making under uncertainty. Previous studies reviewed here focused on (i) calibration, (ii) charactaristics of expert information, and public needs and impressions of it, (iii) contingent valuation method intending to take respondents’ uncertain evaluations into account, and (iv) a relationship between competence and ambiguity preference. Although the papers were quoted from a wide range of academic fileds including cognitive psychology, behavioral economics and environmental economics and most of them are basic research, those results would be usable as research targets for our academic society members. Further research developments are desired by appropriately applying those results to each member’s interest.