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TERM PAPER TITLE:

SCIENCE AND TECHNOLOGY FOR HUMAN
DEVELOPMENT WITH A SPECIAL REFERENCE TO
JAPAN

Submitted by:
CHANDRA PRAKASH (2009PH10712)
NIHIT SINGH (2009PH10729)
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ABSTRACT (Ctrl + Click)

PART A. INTER-RELATEDNESS OF SCIENCE AND TECHNOLOGY AND HUMAN

DEVELOPMENT (Ctrl + Click)

PART B. GENERAL STRATEGICAL CRITERIA FOR SCIENTIFIC AND TECHNOLOGICAL

ACHIEVEMENT FOR A COUNTRY IN GENERAL (Ctrl + Click)

PART C. JAPANESE MODUS-OPERANDI FOR A PROMINENT SCIENTIFIC AND

TECHNOLOGICAL PROFICIENCY
1. AIMS OF THE JAPAN’S SCIENCE POLICIES
• Reducing dependence on foreign energy (Ctrl + Click)
• Reducing dependence on foreign raw materials (Ctrl + Click)
• Stimulating research in key areas of high technology (Ctrl + Click)
• Cooperation among industry, government and the universities (Ctrl + Click)
2. LEGAL MEASURES FOR TECHNOLOGY DEVELOPMENT (Ctrl + Click)
1. Laws enacted(1949-1957) for the facilitation of advanced foreign technologies and
a quick catch up
2. Establishment of various organisations:
a) MITI’s Agency of Industrial Science and Technology (AIST)
b) Research Development Corporation of Japan (JRDC)
3. TAX INCENTIVES FOR R&D PROGRAMS (Ctrl + Click)

PART D. CO-RELATEDNESS AND DIRECT OUTCOMES OF ABOVE MENTIONED STEPS ON

THE VARIOUS COMPONENTS OF HUMAN DEVELOPMENT (Ctrl + Click)

Advancements and consequences (our views on future trend in each element!) in the
following key components of HDI due to the above-mentioned measures between the
years 1960-2000:

• Life-expectancy
• GDP per capita index
• Education index
• Environmental efficiency
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ABSTRACT:

Human Development is defined to be as the creation of an environment which enables

people to develop to their full potential and lead productive and creative lives in
accordance to their needs and interests. In a nutshell, Human Development is about
the widening of peoples’ choices. It not only incorporates the economic well-being but
entire requisite aspects for a healthy and productive life.

The Human Development Index (HDI) is a

composite statistical tool used to rank countries by level of extent of Human
Development and separate developed (high development), developing (middle
development), and underdeveloped (low development) countries. The statistic is
composed from data on life expectancy, education, per-capita GDP (as an indicator of
standard of living), gender equality, environmental sustainability, democracy etc.

Science and Technology on the

other hand can be stated as one of the most important tools for the Human
Development. Analogous to the HDI, scientific and technological achievements are
measured by the Technology Achievement Index (TAI). It comprises of four
dimensions:

• Creation of technology
• Diffusion of new innovations
• Diffusion of old innovations
• Capacity building

Clearly, TAI the measure of how

well a nation could assimilate the technological development within itself. But it’s the
measure of technological achievement only and does not include how well it is
translated into Human Development. However, the TAI is generally found to be in
harmony with the HDI.

Science and Technology is deeply related to the Human Development as the

former being a vital tool for the later and the later results in the augmentation of the
former.

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PART A.
INTER-RELATEDNESS OF SCIENCE AND TECHNOLOGY AND HUMAN
DEVELOPMENT
Science and Technology and Human Development are very deeply co-related to
each other. Both are the means as well as outcome of each other.

Science and Technology helps

in Human Development in broadly two ways:

 By directly enhancing the human capabilities

If utilized well, S&T directly enhances the capabilities of human. Be it by ensuring

disease prevention through vaccines (leading to a healthy life), development of drought
resistant plant for tolerating harsh climate conditions (enhancing productivity of
farmers), dissemination of knowledge/information through ICTs (“Information is
Power!”) etc. All these things directly enhance public health, nutrition, knowledge and
standards of living; thus enabling them to participate more actively in the social,
economic and political life of an individual.

 By triggering the economic growth and thereby creating opportunities

Science and Technology play vital role in economic development by improving productivity
and efficiency of factories, devices, systems or automobiles. This helps in improving
performance, reducing cost and augmenting the quality of the output for the same input,
which provides an incentive for the economic development. Moreover, it creates new
industries and services contributing to economic development as well as creation of
employment. Thus, S&T triggers the economic growth and is a source of generation of
opportunities for the masses.

On one hand, S&T serves as one of the means for Human

Development, from the other way round; improvement in S&T is an outcome of the Human
Development. Apart from monetary capital, for the development of technology highly
specialised scientists and engineers are required for undertaking research and development,
at the same time for its better diffusion well educated farmers and workers/skilled
workforce is required to make out the best use of technological innovation. Technology is an
expression of human potential which is directly an output of Human Development. Thus HD
provides resources for Technological Development.
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HUMAN DEVELOPMENT

(Building of human

Resources for education, employment, health

ECONOMIC Improvements in
Creation of DEVELOPMENT various spheres of
knowledge life like medicine,
communications,
energy and standard
Resources for of living etc
technology-
Productivity gain and d l t
creation of services

TECHNOLOGICAL

DEVELOPMENT

Fig. Relationship between technological and human development

After establishing the relation between S&T and Human Development; let us now look
forward to the TAI (Technological Achievement Index) of some of the most technologically
developed nations, taken from ” HUMAN DEVELOPMENT REPORT 2001”. Their scores in the key
sectors of development and diffusion of technology and inculcation of technological skills are
provided.

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Now, considering both HDI and TAI of countries from different groups in accordance to their HDI:

HIGH HUMAN DEVELOPMENT

COUNTRIES
COUNTRY HDI (1999) TAI (1999)
NORWAY 0.939 0.579
SWEDEN 0.936 0.703 Countries with high HDI have High
USA 0.934 0.733 TAI in general
JAPAN 0.928 0.698
FRANCE 0.924 0.535

MEDIUM HUMAN DEVELOPMENT

COUNTRIES
COUNTRY HDI (1999) TAI (1999)
MEXICO 0.79 0.389
CHINA 0.718 0.299 Countries with moderate HDI have
EGYPT 0.635 0.236 moderate TAI in general
INDIA 0.571 0.201

LOW HUMAN DEVELOPMENT

COUNTRIES
COUNTRY HDI (1999) TAI (1999)
GHANA 0.542 0.139
KENYA 0.514 0.129 Countries with relatively low HDI
have relatively low TAI in general
NEPAL 0.48 0.081
SUDAN 0.439 0.071
(Data collected from internet)

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All the above data illustrate that “In general, both Human Development and Technological
Achievement thrive in harmony with each other”. If a nation does well in Technological
Achievement then fairer are the chances of performing well in the Human Development and vice-
versa. This is one of the reasons why nations enhance their technological achievement for quicker
(“catch up”) development.

Thus it can be concluded that:

Science and Technology and Human Development are

reinforced in a “virtuous synergy”
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PART B.

GENERAL STRATEGICAL CRITERIA FOR SCIENTIFIC AND TECHNOLOGICAL

ACHIEVEMENT FOR A COUNTRY IN GENERAL

The Technology Achievement Index (TAI) comprises of four

dimensions: Creation of technology, Diffusion of new innovations, Diffusion of old innovations and
Capacity building. So to stick onto the bases of TAI, general strategic criteria a country might follow
are:

• Creation of new products, processes and services through R&D

The need is to constantly augment the extent of Research to develop new products or
processes to win patents or IPRs, or to create a new market via generation of new products, or to
improve the existing products both qualitatively as well as quantitatively.

• Usage/improvement of new as well as old technologies in production or consumption

Their is also a dire need to inculcate the newly developed technologies in the
process of production so as to rip out the maximum benefit of it. Also, they help in boosting the
medium to high technology exports for the progressive industries. Moreover, the constant
improvement as well as usage of old technologies is vital to ensure competitiveness and
aggressiveness in the present firms. It is the profit from the usage of old technologies only that help
in generating resources/monetary source for the development of new technologies. They constitute
the very base to build upon.

• Inculcation of skills among people for technological learning and innovation

Capacity Building forms an integral part as it ensures the supply of skilled
labourers to perform the afore-mentioned tasks. Promotion of high scientific and technical
education (of course the primary education is essential!) to ensure a sustained growth. Also, the
absorption of these highly skilled techies in the process of innovation/firms (employment) is
indispensable!

This part has been included in the report as each of the Japanese Policies/ Strategies
can be directly/indirectly co-related to aim at one of the above mentioned key points.

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REDUCING DEPENDENCE ON FOREIGN ENERGY

How is Japan dependent on foreign energy?

The above statistic shows that OIL is a dominant source of energy in Japan.
Despite of the extensive consumption, Japan has very limited domestic oil reserves,
amounting to 44 million barrels as of January 2010, according to The Oil and Gas
Journal (OGJ), down from the 58 million barrels reported by OGJ in 2007.

Graph No. 1
Conclusion: - The above graph is the crystal clear indication of the dependence on foreign
energy.

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Implications of the Japan’s policies on the reduction of dependence on foreign energy

In accord to the realisation of the extensive dependence on foreign energy, Japan’s Science
& Technology policies aim at reducing the dependence. Hence, it is very much essential to
know the reckonings behind those policies.
• High cost of the imported oil along with the rising global price of oil leads to high
domestic energy supply cost, resulting into the ‘Economic Inefficiency’.
• Eventually, Japan suffered serious economic difficulties due to two oil crises in the
1970s and hence the policies can play a major role in securing stable energy supply.
• This policy is another way of promoting domestic renewable energy resources
addressing to the global environmental problems ‘Harmony with Environment’.
• It contributes to the construction of a sustainable economic society, and the
creation of new industries and employment.
Conclusion: - Japan’s energy policy objectives are designed in such a manner that ‘3Es’ goals
must be achieved simultaneously – i.e., ‘Economic Efficiency’, ‘Environment Protection’ and
‘Energy Security’.

Sectors, Groups and Organisations involved in the implication of the energy policy

1) Automobile Industries in Private Sector

2) Japan’s Atomic Energy Agency
3) Japan’s Science & Technology Agency
4) Research & Development Sector
5) Policy-makers in Government Sector

Steps taken in consideration with the Energy Policy

1) Conventional energy (fuel) efficiency

2) Moving towards renewable resources

3) Atomic energy plants

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1) Conventional energy (fuel) efficiency

Fuel efficiency: Efficiency of a process that converts chemical potential energy contained in
a carrier fuel into kinetic energy or work. More the efficiency more will be the output
(energy) for lesser input (fuel).

a) Automobile industries play a critical role in enhancing fuel efficiency

Within the R&D cell of motor manufacturing industries like Toyota and Hyundai, the
vast majority of the testing that takes place in the labs is related to fuel economy
evaluation. Electronic throttle control system has become almost universal in the
industry as an important element of meeting increasingly difficult emissions and fuel
consumption standards. Direct-Injection (D4) petrol and Direct-Injection common
rail diesel (D-4D) engines are the examples of fuel efficient products of Toyota.

b) Establishment of the Fuel-Efficient Tire Promotion Council

The METI, Japan and the MLIT, Japan established the ‘Fuel-Efficient Tire
Promotion Council’ in cooperation with related industry groups in order to
improve the transport sector’s energy consumption efficiency with respect to
automotive tires. Through this Council, the two ministries aim to define the future
direction of tire-related energy conservation measures.
2) Moving towards renewable resources

Domestic renewable resources are the best substitutions of fuel and coal. Japan’s Science
and Technology division aggressively exploits this fact for the self-energy sufficiency and the
reduction of dependence on foreign energy.

a) Commencement of residential solar generation installation subsidies

Japan Photovoltaic Energy Association (JPEA) promoted the use of solar energy by
subsidising solar generation installation. Its aim is to encourage the lowering of the
price of the residential solar generation systems and to promote expansion of the
market with an eye to achieving the objective of mass solar generation.
PROGRAM FLOW

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b) Hibikinada Wind Farm, Japan

A 15MW wind farm on the coast of Hibikinada, supplies power to Kyushu Electric Power
Co. using ten 1.5MW wind turbines from GE Wind Energy. Funded in part by the
Japanese government to encourage renewable energy, the Hibikinada Wind Farm is
owned by NS Wind Power Hibiki Ltd. The turbines are expected to generate 35 million
kWh annually, enough to supply 10,000 average Japanese homes. The ten 1.5MW wind
turbines are active yaw and pitch regulated with power/torque control capability and an
asynchronous generator. Power is varied using active-blade pitch control. This "variable
speed" operation ensures the turbines work at high efficiency.

The projects of Aoyama Plateau Wind Farm (32 turbines), Nunobiki Plateau Wind
Farm (33 turbines), Seto Wind Farm (11 turbines) are run by the Japan Wind
Development Company, LTD.

c) Promotion of Ocean Energy

Ocean Energy involves the generation of electricity from waves, tides, currents, salinity
gradient and thermal gradient of the sea or the ocean. Being a coastal country, Japan is
funding the research and development in Ocean-Energy technology. Nova Energy
Company located in Hyogo Prefecture is setting up of a tidal power project near Seto
Inland Sea. The project intended to produce power from water current energy will install
tuna fish shape type of streamlined turbines.

d) Toshiba Geothermal Power Plant

In 1965 Toshiba manufactured, for the first time, a 22,000 kW turbine generator for the
Matsukawa geothermal power plant in Japan. Today, Toshiba as a leading manufacturer
of geothermal power has contributed to a major part of the world's geothermal
development. Toshiba geothermal turbines are designed, manufactured and
constructed on the basis of such abundant experience.

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e) Hydropower plants in Japan

The Kazunogawa Power Plant is a 1600MW underground pumped storage plant

constructed by the Tokyo Electric & Power Company (TEPCO) in Japan's Yamnashi
Prefecture. The project included a range of construction work, with the 160MW being
generated by the world's then largest reversible pump turbines (four 400,000kW units).

Marubeni Corp., a major Japanese trading company purchased the generating facilities
of a micro-hydro power plant and the business rights for "Tateshina Power Plant" on
the Tateshina Plateau.

RENEWABLE ENERGY MODEL OF JAPAN

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3) Atomic energy

Japan’s Atomic Energy Agency is earnestly stressing on the basic research of nuclear energy
and its application. Intensive research is on the technical establishment of nuclear fuel
cycle:-

• R&D of Fast Breeder Reactor

• R&D of nuclear fuel for FBR
• R&D of Reprocessing
• R&D of treatment and disposal of HLW

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CONCLUSIONS

Source : UNDP

Generally, the country with the HDI range of Japan (9.6) has very high energy consumption
per capita per annum. For example, Iceland and USA has 3-fold and 2-fold per capita energy
consumption of that of Japan respectively. The above graph is the portrayal of high
efficiency in transmission and end-use of energy in Japan.

According to the Graph No.1, oil consumption rate in Japan is statistically decreasing which
is ironical to the fact that most of the developed and developing countries have increasing
graph between oil consumption rate and time. This is post effect of the Japan’s Energy
Policy which explicitly stresses on the exploitation of renewable resources.

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REDUCING DEPENDENCE ON FOREIGN RAW MATERIALS

JAPAN’S GLOBAL TRADES

By aggrandizing the foreign trade system, Japan managed to establish a giant global market
within the country by 1980s. Being a leader of the international economic system, Japan
caught up very quickly and became an advanced industrial nation. Not surprisingly, the
economical acceleration enhanced Japan to import raw materials to meet up the industrial
demands.

CONTINENTS IMPORTS IN JAPAN (BILLION ) 1985

Asian countries US$228
Western Europe US$24.3
Latin America US$31.6
Middle East US$131

GLOBAL INVESTMENT(1980)
ASIAN COUNTRIES(23%)
MIDDLE EAST(31.7%)
WESTERN EUROPE(16%)
LATIN AMERICA(6.9%)
OTHER(22.5%)

Source : wikipedia

URGENCY OF JAPAN’S SCIENCE POLICY ON REDUCTION OF DEPENDENCE ON FOREIGN

RAW MATERIALS
The heavy dependency on raw materials that characterized Japan until the mid-1980s
reflected both their absence in Japan and the process of import-
substitution industrialization, in which Japan favoured domestic industries over imports.
• The desire to restrict manufactured imports was intensified by the knowledge that
the nation needed strong manufacturing industries to generate exports to pay for
needed raw material imports.
• The rising global price of raw materials is another reason behind the aggressive step.
• Japan acquired the technological and economical capability to harness the ocean
raw materials present within the country itself.
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STEPS MANEUVERED IN ACCORD WITH THE POLICY

1) Moving toward smaller high-technology
2) Exploitation of ocean resources

1) Moving towards smaller high technology

Small high technology offers ways to create smaller, cheaper, lighter and faster materials,
devices and systems that can do more and cleverer things, use less raw materials and
consume less energy. Japan incorporated such technologies in new and improved products
which eventually helped in reducing the dependency on foreign raw materials. The Japanese
have completely abided by the thesis of “SMALL IS BEAUTIFUL”.
Nanotechnology
Nanosystem Research Institute played a critical role in inheriting the nanotechnology in the
techno-economical system of Japan. Japanese nanotechnology as it is now proceeding is
almost completely the outgrowth of work in semiconductor processing (nanostructures) and
micromachines. Nanotechnology is the backbone of the semiconductor companies and the
present world of electronics and chips is totally dependent on it. Some of the emerging
products based on nanotechnology are carbon-nanotubes (application in photonic
technology), Dynamic Random Access Memory (DRAM) silicon chips and nano-Spindt FED
etc. The various nanotechnology based companies in Japan are Fujitsu, Hitachi High
Technologies, Ashizawa Finetech and Hamamatsu Photonics etc. Japan is also seeing the
rapid development of equipment for use at the nanometer level (STMs and AFMs) and its
integration into the research laboratory.
Microelectromechanical Systems (MEM)
It is the technology of very small mechanical devices driven by electricity. Japanese ‘MEMS’
had roots in mechatronics but Japan is also investing in lithographic-based MEMS capability
and equipment. Fabrication technologies are observed in high temperature materials for
power MEMS (sintering), SAW devices, Micro-stereo lithography and microfluidics etc.
Tohuku University, Tokyo University and Ritsumeikan University have excellent facilities and
research activities in the field of MEMS. Murata, Kitamori and Hitachi are the MEMS based
companies.

2)Exploitation of ocean resources

A stable supply of resources is important tasks for the Japanese government in a relatively
small country where natural resources are scarce. Utilizing the ocean is one effective way to
deal with the problems Japan faces. Ocean resources refer to marine resources, deep sea-
bed resources, underground resources of oceans and the living resources in the sea, on the
islands and in the ocean.
Marine resources
They are the encompass energy derived from the sea, including wave and tide power, heat-
exchange energy and wind power which has been discussed in detail in the renewable
energy section.

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Deep seabed and underground resources

Since early 1970'SA deep ocean minerals Development was adopted as one of the
Government's principal mining policy. The Ocean Development Office of Agency of Natural
Resources and Energy, Ministry of International Trade and Industry (MITI) are in charge of
formulating basic Policy for deep sea-bed mineral resources Development. The Metal
Mining Agency of Japan (MMAJ) started the exploration of manganese Nodules in the
Clarion-Clipper ton Zone (C-C zone) in the Pacific Ocean. Japan’s new ocean policy
emphasizes the need to develop methane hydrate and hydrothermal deposits within
Japan’s exclusive economic zone and calls for the commercialization of these resources
within the next 10 years.
Living ocean resources
The ocean has been a source of an abundant food to the Japanese people since ancient
times. In 2002, Japan's fisheries production reached almost 6 million tons. The Tokyo
Metropolitan Central Wholesale Market is the biggest wholesale fish and seafood market in
the world. Chlorella fish is extensively used in medicines. Processed sea foods market is
another emerging market of Japan.

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How did the Japanese unfold?

After establishing such heavy industries as steel and automobiles, thereby laying the
framework of Japan's explosive economic growth, the government began strongly supporting
companies engaged in high-technology. The goal was development of a domestic capability
to produce highly competitive electronic goods for export.

“The transition from labour-intensive industries to technology-intensive industries

was the most vital step in the ladder of national development.”

The above fact can be established by the following data, which confirms an increase in
electronic based industries’ share in export for Japan.

Source : bing images

Share of technology intensive industries for Japan

Primary initiatives:
The national government helped Japanese high-tech industries to become more advanced:

• By funding them
• By assisting in the acquisition of foreign technologies
• By cartelizing industries, and protecting the domestic market from outside
competition until Japanese firms were prepared to compete, the government
successfully built Japanese high-tech firms into the global powerhouses
• Persistence of very strong ties between corporations and various government and
quasi-government entities.

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CONTRAPUNTO: Following the Meiji Restoration (1868), Japan was opened to the West. The
prime motivating factor for Japan then was not profit, but fear that the more-advanced foreign
technology might be used against Japan. The embarrassment of being forced to accept the
"unequal treaties" imposed upon Japan by the Western powers (including the United States) set
the stage for Japan's quest to ensure its survival and national security.

In which high-tech technologies?

With strong support from the government coupled with the aggressiveness, Japanese
electronics companies stand well-positioned to utilize their expertise in production
technology to market the world's most advanced microprocessor, memory, and display
technologies. In nearly every key area involving "digitization" - including digital encoding,
high-density recording, and high-density packaging - Japanese firms either possess world-
class technology, or are pioneers in the field. Japanese companies also lead in such areas as
flat panel displays, flash memory, video compression chips,
batteries, and optical discs.

“Going through the

adjacent country wise
share of global high-tech
market it can be observed
that in between 1980 and
1995 Japan had a
whopping share of 22-30%
of this progressive market.
It illustrates the success of
the aforementioned
government initiatives
along with the global
competitiveness and
aggressiveness of the
Japanese High Tech
companies.”

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COOPERATION AMONG INDUSTRY, GOVERNMENT AND THE

UNIVERSITIES
1. Expansion of fund supply to universities

Sufficient funds have been appropriated to support research and development activities by
academia in. Appropriations for science and technology in the Japan government budget for 1997 FY
total about ¥3.0 trillion!

In 1996 the “Basic Science and Technology Promotion Plan” has been enacted to serve the
purpose to a much larger extent.

2. Promotion of technology transfer

A unique system of providing licenses to industry in order to make use of the intellectual property
rights resulting from research by universities has been enacted. This would pave the way to
academia-industry cooperation is to set up an organization by which to transfer technology from
academia to industry.

"The Law for Promotion of University-Industry Technology Transfer” was enacted in 1998
to serve the purpose.

3. Promotion of joint Research and internships

In Japan, joint research centres have been established at universities since 1987 for the promotion
of industry-academic cooperation. The centres number 56 in fiscal 2000. At national universities,
etc., the numbers of the cases of joint researches with private businesses and those of entrusted
researches by the private businesses have increased 4.4 times in case and 2.7 times in people from
10 years ago. The entrusted researches have grown substantially as much as 9.7 times in terms of
amount of money.

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Certain provisions of the “Law of Promoting Technology Transfer from University to Industry”:
1. Subsidy and debt guarantee to Technology Licensing Organizations. The Japanese government will give a
1. Subsidy
subsidy of 50% andanddebta guarantee to Technology
full debt guarantee to the Licensing Organizations.
establishment cost of a TLO Theby Japanese government
universities and private will give a
subsidy of through
companies 50% andthe a full debt guarantee
“Industrial to theFund”
Infrastructure establishment cost of a TLO by universities and private
(Sangyoukiban-seibi-kikin).
2.companies
Exemptionthrough
from feethe on“Industrial Infrastructure
patent registration Fund” (Sangyoukiban-seibi-kikin).
and maintenance. With regards to patents from universities and
2. Exemption
national from fee
universities, theon TLOpatent registration
will be exempt from and paying
maintenance.
fees onWith regards
patent to patents
registration and from universities and
maintenance.
national universities, the TLO will be exempt from paying fees on patent registration
3. Financing to collaboration between universities and small-medium sized companies by the Small-Medium and maintenance.
3. Financing
Sized Companies to collaboration between universities
Supporting Corporation. Small-medium and small-medium
sized companiessizedcancompanies by the Small-Medium
play an important role in
Sized Companies
commercializing Supporting
results Corporation.
of universities' Small-medium
research sized sufficient
but do not have companies can play
finances to an important
support role
it fully. in
Therefore,
commercializing
the Small-Mediumresults of universities'
Sized Companies researchCorporation,
Supporting but do not have
which sufficient finances to
was established bysupport it fully. Therefore,
the Japanese
the Small-Medium
government, provides Sized Companies
financial supports Supporting Corporation,
to collaborative researchwhich was established
expenditure, by the Japanese
and subsidies to collaboration
government,
between provides
universities and financial supportssized
small-medium to collaborative
companies.research expenditure, and subsidies to collaboration
4.between universities
Advertisement and small-medium
of universities technology sized companies.
transfer plans. The Industrial Infrastructure Fund will advertise, i.e.
4. Advertisement
universities technology of universities technology
transfer plans to privatetransfer plans. that
companies The can
Industrial Infrastructure
buy, i.e. universities Fund will advertise,
licenses, especially i.e.
to
universities technology
small-medium sized companies.transfer plans to private companies that can buy, i.e. universities licenses, especially to
5.small-medium
Deregulation sized companies.
on non-governmental business of national universities' staff in TLO. National universities are
5. Deregulation
prohibited on non-governmental
from engaging business
in non-governmental of national
business universities'
by staff staff in TLO. National
of the Governmental Officials universities
Law. The new arelaw
prohibited
will from engaging
make it easy for staff ofinnational
non-governmental
universities business
to work forbyastaff
TLOofasthe Governmental
a prescribed Officials
private Law. The new law
company.
6.will make itforeasy
Subsidy for staff ofresearch
collaborative national between
universities to work
industry andforuniversity.
a TLO as The a prescribed private
Ministry of company.
International Trade and
6. Subsidy
Industry will for collaborative
provide a subsidyresearch
of ¥2200between
million to industry and university.
collaborative researchThe Ministry
projects of International
between industry and Trade and
university
Industryimpartial
through will provide a subsidy
evaluation of ¥2200 million to collaborative research projects between industry and university
in 1998FY
through impartial evaluation in 1998FY

Fig. The universities' share in the nation's research and development expenditures is 20.1% in Japan. This figure
compares favourably with the corresponding outcomes of the Govt efforts to strengthen the bilateral ties and
promotion of technology transfer

. Source: Japan; Statistics on Science and Technology in Japan, Management and Coordination Agency.

All these legalisations and steps show the extent of importance given by the Japanese
government, universities and industry to the university-industry interaction and linkage. That shows
that how the three partners, key players i.e. the government, higher education institutions /
universities / engineering institutions and industry are cooperating, interacting with each other for
the benefits for all.

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LEGAL MEASURES FOR TECHNOLOGY DEVELOPMENT

Laws enacted (1949-1957)

Realising the urgency to catch up very quickly in the technological as well as economical
aspects, the government of Japan enacted various laws to facilitate the foreign technologies
and in turn enhancing the technological excrescence.
a) The Foreign Exchange Law (1949)
b) Establishment of the Industrial Standardization Law and the JIS mark (1949)
c) The Foreign Law (1950)
d) The Law of Extraordinary Measures for Promotion of the Electronic Industry (1957)
Despite of the hazardous post war effect of the World War II, Japan is considered to be the
most successful among the Asian industrial economies based on various criteria. This was
accomplished, in part, by these numerous legislative measures that were enacted around
the early 1950s to meet up with technological standards generally accepted by other
industrialized countries.

Establishment of various organisations

a) MITI’s Agency of Industrial Science and Technology (AIST)
MITI’s Agency of Industrial Science and Technology (AIST) administers the
introduction of new technologies, promotes the development of national resources,
introduces modernization, upgrades and standardization in industry, as well as
subsidizing R&D in Japan’s private sector. The AIST has taken a number of steps to
promote regional technological development.
b) Research Development Corporation of Japan (JRDC)
Since 1961, the Research Development Corporation of Japan (JRDC) has also played a
major role in the development and transfer of technologies.
Japan’s experience in this area has focused on:
• Importing basic technologies and then producing supplemental technologies locally.
• Spreading imported technologies to various local firms to create competitive
pressure for increased innovation.
• Market sharing quotas for foreign and internal technologies as a means of promoting
utilization and competition.
• Concerted action by the government to regulate technology import so as to
stimulate local development.
• Creating a suitable environment for science and technology education, R&D
institution etc.
• Eventual privatization of industries.

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Tax incentives for R&D programs

The JRDC offered various tax incentives to encourage Research and Development in the
private sector. This included the provision of finances and loans for various technological
projects.

1) Tax incentives for technological development

a) Tax system for the facilitation of research and development in fundamental
technologies:
• Special tax deductions for increased expenditures on experimental research
were available.
b) Tax system for mining and industrial technological research associations, including:
• Depreciation of costs to research association members who promote mining
and industrial technology for the acquisition of fixed assets for experimental
research.
• Condense recording (down to one yen) of charges imposed by cooperatives
for acquiring fixed assets necessary for the study of mining and industrial
technology.
• Reduction of tax on fixed assets for research.
• Special reduction in life of research assets subject to depreciation.
• Special permission to calculate donations to research corporations as losses.
2) Financing for the promotion of industrial technological development
Funds are provided at attractive interest rates for commercialization of important
industrial technologies and construction of special structures for advanced basic
research that will make a significant contribution to the advancement of industrial
technology and play a key role in upgrading the industrial structure.
3) Conditional loans for R&D projects
Conditional loans relating to technological development are awarded to encourage
development of technologies that will contribute to the activation of industry, to
R&D on energy-saving technology, and to the development of practical use for
petroleum substitutes, energy technologies, and new power generation
technologies.
4) Research association system for the development of mining and industrial
technology
Taking into account of the efficiency and importance of joint research by enterprises,
this system gives legal status to cooperative research organizations that produce
technology related to industry and mining.
The Japan key technology centre was established in response to a proposal by the
private sector. It conducts activities seeking overall improvement of the environment
for private research and development of fundamental technologies. Some of its
more important activities are:
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• Capital Investment — The Centre provides capital investment for joint

research performed by companies.
• Loan Service — The Centre provides conditional interest-free loans to help in
reducing R&D-related risks and costs.
• Arranging Joint Research — Assistance is given to private companies wishing
to conduct joint research with national research institutions.
• Execution of Consigned Research — The Centre brings together experts from
government, industry, and academia to conduct research consigned to the
Center by private companies.
• Japan Trust International Research Cooperation Service — The Centre has
established a charitable trust called the Japan Trust Fund. The operating
profits from this fund are used to invite foreign researchers in key
technologies to Japan.
• Research Information Service — The Centre collects and sorts a wide variety
of important research literature which is then kept on file at national
research institutes and other organisations.
• Other Services — The Centre conducts various kinds of surveys to aid private-
sector research in key technologies.

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PART D.

CO-RELATEDNESS AND DIRECT OUTCOMES OF ABOVE MENTIONED STEPS ON THE VARIOUS

COMPONENTS OF HUMAN DEVELOPMENT

1. Life-expectancy

Source: Population Division of the Department of Economic and Social Affairs of the United Nations Secretariat, World
Population Prospects: The 2006 Revision and World Urbanization Prospects: The 2005 Revision, http://esa.un.org/unpp

Scientific and technological advances, socioeconomic development, improved

communication, better hygiene and increased food intake have helped to increase life
expectancy and reduce mortality rates. Life expectancy now surpasses 83 years in Japan, the
highest level in the world.
Japan owes this credit not primarily due to S&T (most of vaccines
have been developed by the USA and the Europeans, but Japan has cleanly surpassed them all!).
There are two reasons of it:
• The Japanese have very stringent and effective policies for infant immunization which
are further ensured that they are followed by the citizens
• Their typical diets are very natural and are mostly derived from nutritious marine foods.
‘Japan’s successes in terms of Life expectancy do prove that:” other than S&T, an apt
social dynamics and an effective policy making are indispensable in procuring
the very best results!”’

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2. GDP per capita index of Japan

Source: www.businessweek.com

There has been 3 times increase in the real annual GDP per capita income on logarithmic
scale (1000 times in reality!) of Japan since the last thirty years. A large percentage of it
attributes to the Mammoth automobiles industries and ever prospering electronic goods’
export.

This speaks of the extent of success of different legalisations, tax incentives and S&T
strategies to promote indigenous industries as well as absorbing the most progressive
technologies in the world. Today Japan stands as the third largest economy in the world.

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3. Education Index of Japan

Source: UNDP database

The education index for Japan received setback in around 1992 when it was passing
through the phase of economic crisis, otherwise it has improved since 1980. With accord
to the Fig. 6, the dominant contribution to the science and technology output of Japan
have been the bachelors of engineering(brown), the no. of researchers(white) and the
final value added to the high tech products(yellow). Of which the former two are
directly related to the education index.

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4. Energy Efficiency of Japan

Japan has been among the most energy efficient nations in the world since a long time.

Source: METI (Ministry of Economy, Trade, and Industry - Japan)

Japan’s all time emphasis on the end-use efficiency pattern (which is reflected in high
efficient automobiles and electric appliances) as well as consistent thrust to make the
industries more energy efficient has resulted in the decrease of primary energy input/GDP.

AND HENCE CONCLUSIVELY,

5. Trend in Overall HDI of Japan

We guess the trend doesn’t need any further explanation.

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In context of Japan,

Science
and
Technology

Effective
Policy
Increment
Making of HDI

Well
adapted to
social
dynamics

END