This article analyses the inequality of income distribution among both factors of production and individual economic agents based on the "surplus approach", which has developed in Classical economists, Marx, Sraffa, Leontief, Okishio and Pasinetti. It is also analysed that "efficiency" and "equality" are not necessarily in trade-off. Therefore, inequality can be reduced with proper institutional arrangements and economic governance when we take into account both micro and macro effect of income distribution on economic performance. To consider this possibility, a linear model of the production price system with profit differentiation and wage differentiation is developed to analyse the effect of demand conditions and work efforts on a shift in the trade-off between wages and profits. Base on the model, the existing gap are bridged between the macro analysis of surplus and the micro analysis of income distribution among individual agents. Furthermore, the theories of "distributive justice" are reinterpreted from the viewpoint of the reproduction of socio-economic systems. Finally, some suggestions are given to the situation of increasing income inequality in the Japanese socio-economic system on the basis of the theoretical analysis in this article.

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This article analyzes changes in Japan's employment system during the course of the Heisei depression, with an emphasis on the employment strategy used by firms. Unlike previous depressions, the Heisei depression is characterized by severe financial instability. Real-estate loans during the bubble era became non-performing from the early 90's, which made the financial system unstable. A financial crisis, however, was barely warded off by the "discretionary policy" of the Ministry of Finance. In fact, during the period from 1995 to the beginning of 1997, the real economy did show a recovery. In November 1997 a financial crisis broke out, and it deepened thereafter. During this financial crisis, firms curbed their investment and households their consumption, causing the total demand to shrink rapidly. Under this macro economic environment, firms started a price war due to their peculiar price setting method, and at the same time adopted the employment strategy of cutting labor costs, reflecting the shift of business goal from "market-share" to "profit rate". These measures created the micro foundation for a deflationary spiral. In this process, fully utilizing new and old methods for flexible employment adjustment, firms significantly changed the employment system. Even though the financial crisis has subsided since the spring of 2003 (an official announcement of financial "normalization" was made in the spring of 2005), firms have been maintaining such an employment strategy in order to increase their profit rate. Structural change in the employment system is most clearly demonstrated in (i) the increase in unemployment and non-regular workers among young people, which is causing serious social problems; and (ii) the dysfunction of the mechanisms of macro economy - the decline in compensation of employees is suppressing the final demand and deflation is continuing, as the situation presents itself. The simplistic employment strategy (as well as pricing strategy) of firms stems from the absence of an innovative management strategy. To rectify this situation, it is necessary to overcome the "flexible labor market" ideology, which is not supported by empirical evidence. It is further necessary to strengthen labor legislation and the enforcement system, thereby giving firms an incentive to formulate innovative strategies. It is not "employment system" but "corporate management" which requires structural reform.

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Facing the historically specific socio-political situation of Japan since the 68 and the 89/91 under which nigh no marxian economist ventures to attempt to decipher the capitalist expropriation and exploitation as the historically specific continuous events, I, not only having in mind Toni Negri and Felix Guattari's desire such as "[n]ow everything must be reinvented," but also being inspired by a marxian Geist like "the Bliz of reason, the Jetzt of the moment of rupture" (Negri), would map out the European as well as the North American pole-mos around them. Paraphrazing from the political viewpoint, I perforce aim at intervening into the Japanese marxian circus so as not to shrink from theoretically setting up the praxis-laden arena where the Japanese autistic marxian academia cannot but at once re-member and re-cuperate the very point-the 1920s-from where they got their efforts started. The two diametrical poles are axiomatically established as the symbolic exemplars: the so-called Analytical Marxism (or Rational Choice Marxism) on one hand; the Operaismo type of marxian standpoint on the other. This setting is chosen not simply in terms of the theoretical standpoint per se but with a perspective for the praxis in the street to come. I describes the former as the camp which eventually arrests the theory of exploitation in that of PC type justice by introducing at the outset the very axiom of the methodological individualism which presupposes that the exploitation takes place in the rationally "equal" exchanges among the homogeneous "producers" fabricated following its own axiom, which, in its turn, eventually corners itself to discover as the cause of exploitation the so-called initial inequality of the assets even breaking the initial axiomatic circle of its own. In a stark contrast to the former, the latter, following Marx, grasps the expropriation-cum-exploitation as the processes of the formal/substantial subsumption of labour-power by capital. These two historically continuous as well as structurally juxtaposed processes can be lumped together under the Deleuzo-Guattarian notion of "appareil de capture". In other words, the latter posits it as that which takes place not simply in the capitalist processes as such but also in the socalled originary accumulation of capital incessantly functioning behind it since its advent, which eventually culminates in the total subsumption of the Socius up until to the point at which the reproduction of life itself is totally subsumed and commanded by capital (the advent of the bio-politique as the socio-political system of expropriation/exploitation). After having so mapped them out and then translated them as the very political contrast between the camp which insists on the very existence of the inequality of the initial endowments and the belated corrective of it by the State on the one hand and the camp which underscores the total subversion of "the state of affair" (Marx) where the living labour is being expropriated-qua-exploited by the dead labour (capital) on the other, I, by highlighting the specific parlance such as the "Arbeit der Oberleitung " and the "Strasse" in Das Kapital III-"Die kapitalistische Produktion selbst hat es dahin gebracht, dass die Arbeit der Oberleitung, ganz getrennt vom kapitaleigentum, auf der Strasse hermlauft"-, explicitly allude a viability of the strategy of "having-sabots-on" or of "le refus du travail" in the "Strasse" almost totally organized as the social factory: in order to re-capture back our living labour as the "form-giving fire" (Grundrisse) from the dead labour and substantially re-subsume it as our own "living time."

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The conception of Basic Income proposed by Philippe Van Parijs, which requires an unconditional and universal provision of benefit expounds a logic which goes far beyond traditional capitalism or socialism in that, as he says, "it consists in making accessible to all members of society a parasitic existence" and aims to guarantee the real freedom for all. Moreover, his idea of redistributing the rents of assets equally among all individuals is a perspective that goes far beyond normal libertarian theory. If the Japanese public assistance were to be reformed along the following lines, it could be regarded as a form of Basic Income. The first desideratum is to loosen the stipulation of "the complementary principle", second, to change the provision unit from household to individual, third, to change the way of providing, that is, from providing only for those who are in need to providing for all members of society, while imposing a positive tax on non-needy in the result. The most attractive point of this proposal is that we can expect a dramatically increase of take-up rate. However, we must note that his conception is basically grounded in the liberal market not only practically but also theoretically. This feature appears typically in the following methodological features of his real libertarianism. First, it leaves the evaluation and determination of the actual contents and level of the real freedom in the hands of market mechanism, that is, purely competitive equilibrium price systems. Second, it intends to reduce external points of views, which exist outside of market, and by which individuals can reflect on their actions or preferences behind choices that are one of constraint conditions of the realization of social goals. This feature differs from Amartya Sen's Capability theory (1980, 1985, 1992), though they are common in turning their attention to real freedom, which shows a necessity and possibility to evaluate the contents and level of real freedom outside of market, basing on public reasoning or discussion. It also differs from John Rawls's justice as reciprocity (1971b) which introduces a logic that is distinguished from the logic of market in realizing principles of justice. Rather, it is similar to the neo-classical economics which tries to construct a self-contained and internally consistent theory, refusing any viewpoints external to the theory. If it is the basic standpoint of the real libertarianism, the relationship between the two is interesting. The purpose of this paper is to examine a methodological problem involved in realizing real freedom for all through investigating the impasse the Japanese public assistance is now confronted.

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This paper provides a counter argument against Yoshihara(2005) who criticized Matsuo(2004)/both reported on this journal. The controversy has been carried out regarding the Fundamental Marxian Theorem (FMT), which says the equivalence between positive profit and the exploitation of labor. Here I recognize Yoshihara's(2005) criticism against FMT that insists there exist individual workers who are not exploited under positive profit, if we suppose workers' heterogeneous consumption. I interpret it by simple example. Next, I refute Yoshihara's(2005) criticism against my exploitation concept using worker's utility function. My refutation point is that labor value concept of exploitation theory is a normative concept standing at the workers' point of view. Then from this standpoint, I develop a new definition of exploitation concept, based on which all individual workers are exploited under positive profit. This avoids Yoshihara's(2005) criticism against FMT. And from this standpoint, Matsuo's(2004) criticism against so called "Generalized Commodity Exploitation Theorem" becomes clearer. Here, we must reconsider the concepts of "net production" or "real wage bundle".

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Japanese macro data from 1970 to around 2000 reveal clear trends in main macroeconomic variables that economic growth rate decreased while unemployment rate, capital coefficient and labor distribution increased. However, a longer time span back to 1950 shows that the economic performances before and after 1970 were so different that the above main macroeconomic variables moved in opposite directions. People may wonder why the economy changed so much from 1970. One conjecture is that the demand change in capital accumulation contributed largely to this sharp change from 1970. The rate of capital accumulation had been decreased because, after the catching-up process, firms' investment intention decreased. As Yoshikawa (1992) pointed out, the driven force of domestic demand caused by labor movement and households increase had vanished till the first oil crisis. According to Sato (2002), "Heisei-Depression is an extension of the macroeconomic trend from 1970." Following Sato (2002)'s view, this paper built a theoretical model to see if the demand change in capital accumulation can explain the macroeconomic trends observed in the Japanese data. In the literature, the following studies are closely related to the present work. Stockhammer (2003, 2004) showed that demand change contributed to the long lasting high rate of unemployment in Europe. Cassetti (2003) discussed the relation between demand change and economic growth. The main result of the paper is that, the decrease in capital accumulation from 1970 can explain most the macroeconomic trends in this period. This contributes to the literature from the demand economy side. A more general study should put supply side factors, saving rate variation, industry structure, monetary or open economy in to consideration. Until now, there is still no clear conclusion for which side, supply or demand, is the main reason of the lasting depression from 1990s. This paper illustrated that demand change can explain this depression. However, not limited to the 1990s depression, we confirmed Sato (2002)'s prediction by showing that the 1990s depression is an extension of the macroeconomic trend from 1970. The present study reminds us that, it is needed to look into a longer period for discussing policy issue, such as the "socialization of investment" issue. This is also pointed out by Stockhammer (2004).

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The purpose of this paper is to clarify the basic character and structure of that the international negotiation and trade rules on "Food Safety issue". In this paper, we focus on "safety of US-beef" in eminent agricultural exporting country United Sates of America in the world. Chapter 1 shows that define of "Political Economy approach", and that problem establishment of this paper. Section 2 shows that reviewing about the relation between "Food Safety issue" and globalization. In terms of trade and "Food Safety issues", The SPS (Sanitary and Phytosanitary) measures are so important that its have an influence on risk related to food safety and ecological safety. Section 3, we consider the characteristic of international negotiation and trade rules on "Food Safety issue". In this section, we examine about "the Japan-U.S.BSE negotiation". Section 4 shows that structure and character of the WTO trade rule (especially SPS agreement). And, as the case study of trade rule of WTO, we examine "the U.S.-EU growth hormone beef case". Lastly, in section 5 shows that opinion of Jagdish Bhagwati as Neo-Classical international economist, his policy recommendation for trade and food safety issues is labeling. We describe that some critique against this policy recommendation. And we conclude this paper and point out some additional study subject. The main conclusions in this paper about international trade negotiation/rule and "Food safety issue" are the following four points. 1. To set an analysis framework from "Political Economy approach". 2. Explicit understanding of structure that interaction between "Food Safety issue" and the WTO regime. 3. Having confirmed a position of the U.S. Government, which gave priority to trade promotion over food safety security from "the Japan-U.S.BSE negotiation" and "the U.S.-EU growth hormone beef case". 4. To point out that "Non- neutrality" of the decision of the international rule about the trade and "Food Safety issue", and that the "fluctuation" of WTO.

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