In this paper, we wish to analyse quantitatively the relations between public investment and overcrowdness in metropolitan regions. The method which we use is a technique of simulation by means of econometric model.
The content of simulation analysis we examine is as follows:
The results obtained from simulation analysis are as follows:
(i) Population in daytime
(ii) Traffic
(iii) Regional Income
As is understanded, public investment on traffic had generated the crowdness of traffic relative to transportation capacity, which expanded with relatively show speed, in metropolitan region, say, asaka, nagoya and yokohama.
On the other hand, public investment on welfare items had contributed to the growth of regional income and population inflow.
As a conclusion we can say as follows. Aiming to the balanced growth without overcrowdness in metropolitan region, we had to allocate the government capital expenditure among traffic items and welfare items with properly composition.

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From the economical view point the Environmental Disruption (=ED) is regarded as one of the phenomena which show the lack of efficiency in the industrial activities of the modern society.
The present situation of the ED gives the very heavy load of social cost to the residents in the polluted areas. The real problem exists in the fact that industrial activities are responsible for the ED, while its victims are individual residents in the polluted areas and this fact is the very problem that we have to deal with in this thesis. It proves that the objective of private industrial activities does not function to maximize the social net product. This contradiction will be solved by establishing the rule to make those for its expense.
Certainly the Abatement cost will be increased by establishing this rule; however, the social cost will be cut down rapidly on the other hand. This relationship can also be applied to any industries that have a considerable responsibility for the ED from the view point of the national economic plan.
In short, as long as the private industrial activities keep operating without paying any consideration on environment security, it will cause the great loss in the national and/or international economical development.

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For the purpose to simulate the changing process of land use pattern in urbanization, it is necessary to quantify the preference functions of various land users, such as commerce, industry and household.
In this paper we have proposed a new method for the estimation of the preference functions by means of statistic discriminant function, which are composed of the accessibility to some urban activities, amenity level and other social and natural environment.
First of all, we assumed that the behavior of each land user is making his utility maximum within the limit of the budget for land. Then on this assumption we defined the fact that land user located a certain land means that he prefers it to other lands where he did not locate, and have estimated the preference functions of commerce, industry and household respectively, using data on the land use map of Osaka Prefecture, 1965.
The result of the estimation shows as follows: First, each estimated preference function adequately justifies our assumption. Second, the preference function of commerce is similar to that of household, but not to that of industry. Third, the preference function of commerce is strongly effected both by accessibility to the C. B. D. and neighboring land use; that of industry by the industrial water supply and that of household by accessibility, construction cost and public utility level.

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After the War, Japan's economy has been prominently developing by her industrialization. As a result of the rapid growth, it has created so-called “problem areas” in mountainous rural regions in contrast with prosperous areas in urban cities.
Such mountainous regions occupy 49 percent in total land and 8 percent in population. Depopulation in these areas has been accelarated since 1960, the number of rural autonomy lost more than 10 percent of their population mounted to 51 percent for only 5 years after the year. This large change has badly affected in turn land use, farmers income, and local public finance. To cope with such situations, the Mountainous Community Development Law was enacted in 1965, and some countermeasures have carried out.
To make the measures more effective, we should find not only what is the causes but what is the true problem to be solved. There can be pointed out five main causes as follows:
1) Agricultural marginal land use problem. Technical development in agriculture enforced mountain areas getting more disadvantageous.
2) Abandoned forestry resources problem caused by the fuel revolution. One of the main products in the areas, charcoal, was taken place by crude oil or its products.
3) Under-employment problem in forestry. Mechanization in forestry complelled some laborer to get out of the forestry areas.
4) Industrially less-developed area problem. The areas without any industrial factories can not accomodate surplus labor forces going out for urban areas.
5) Changing value system problem. Because of a large change or chaos of the social value system after the War, younger generation do not have their obligation to stay at home for succeeding father's farm any more.
In a sense, the mentioned causes have reformed a new enveronment. The key problem is how to readjust to the new conditions. Generally speaking, the structure built up under the former conditions tends to be continued even under the new conditions. There would occur a malacjustment problem of structure to the enveronmental changes. In order to solve the problems of mountainous areas basically, we should employ, besides existing tentative and direct countermeasures to stimulate agricultural and forestry activities, comprehensive and long-range measures such as resource development program to make reallocation and enlargement of resources possible.

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1. The regional development policy by means of subsidizing the location of particular industry at particular area is a popular political device not only for the local governments but also for the central government. The direct effect of this policy is to restore the profitability for the industry at a particular location which was non-existent before the policy.
Following the analysis by G. H. Borts, the situation can be formulated with the productivity function f(k) of the industry which is derived from its linear homogeneous production function X=F(K, L) where X, K and L are the amounts of output, capital and labor respectively, i.e. A ‘profitable’ set of prices is one which satisfies the following relation for some capital-labor ratio k₀:
where P₀ and P_K the prices of output and capital, w is the wage rate, and r is the rate of interest. If the actual price, say P₁, at the particular location where some amount of idle labor force is available is lower than P₀, a private firm cannot operate there without subsidy.
2. Net social benefit gained by the employment of a unit of idle labor force is:
and its maximum value will be attained at k=k^* for which
This equation implies that neither the price subsidy nor the interest subsidy is ‘optimal’ therefore the wage subsidy, say y, which makes
is recommended.
However, the ‘optimality’ of k^* does not assure a positive net benefit, and if the latter is negative, then of course none of the subsidizing policies is desirable. This problem and the comparison of alternative subsidizing policies are diagrammatically demonstrated.
3. The ‘strong’ criteria for the efficiency evaluation should take the opportunity cost of the subsidy itself into account. Let the rates of subsidy for price, wage and interest be x, y and z respectively, then we should have the system of:
and the rate of return for this mixed-subsidy-policy will be
The normal equation of deduces the optimality of k^* again. Of course the maximum θ may not be greater than the discount rate for the public policy general in which case none of the subsidizing policies is (strongly) efficient.

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It is necessary to make strategic investments in the form of large-scale development projects preparing a generating system for national land management as a part of large investments in plans for building the new metworks for land development, industrial development projects, and environmental conservation anticipated in the next twenty yearts; this is the presentation in New Compreheusive National Development Plan.
In this point of view, two problems are investigated in this paper; the first is the systematic analysis and design of large-scale developments projects, and the second is the implementation and organization process by the working body in large-scale development projects.
In the former, we deal with both quality and quantity of large strategic investment maked in the form of large-scale development project, which include type and selection-criteria, character and role of social overhead capital for constructing of a new land management generating system.
In the latter, the implementation process of large-scale development projects is discussed; an organization capable of raising funds and implementing the taskefficiently, such as “the tertiary sector”, a public private working body and “a private developer”, a new company formed by combination of firms expected to move into this field in new questions.

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