Development Bank of Japan
Research Report
No. 7

Survey on Planned Capital Spending
for Fiscal Years 1999 and 2000
(Conducted in February 2000)

June 2000

Economic and Industrial Research Department
Development Bank of Japan

Contents

Ⅰ

Outline..........................................................................................................................1

Ⅱ

Summary...................................................................................................................... 3
1. Overall Condition ......................................................................................................................3
2. Anticipated Actual Capital Spending for FY 1999 ...............................................................3
3. Planned Capital Spending for FY 2000 ..................................................................................3
4. Features of Planned Capital Spending for FY 2000 .............................................................4

Ⅲ

Survey Results ............................................................................................................. 7
1. Anticipated Actual Capital Spending for FY 1999 ...............................................................7
2. Planned Capital Spending for FY 2000 ................................................................................10
3. Investment Motives .................................................................................................................15
4. Trends in Land Investment (Classified According to Principal Business Sector)..........17
5. Trends in Capital Spending by Foreign-Affiliated Firms(Classified According to Principal Business Sector) ...........................................................19

Development Bank of Japan Research Report/ No. 7i

ⅠOutlineObjectives
This survey has been conducted annually since FY 1956 by the Development Bank of Japan toassess major trends in the capital spending of Japanese industry.
Target Firms and Survey Methods
This survey covers private firms in Japan’s major industries capitalized at ¥1 billion or more
(excluding agriculture, forestry, finance and insurance, medicine, etc. In addition, the Teito Rapid
Transit Authority has been included in the survey despite the fact that it is classified as a (nonfinancial) public corporation under the new System of National Accounts (SNA).
The survey was conducted by questionnaire (sent to and completed by individual firms).
Contents of the Survey
The main issues addressed by the survey were as follows: (i) Anticipated actual capital spending
in FY 1999 and planned capital spending in FY 2000, (ii) Details of individual construction
projects in each of the above years, (iii) Anticipated revenues and expenditures in FY 1999 andFY 2000, (iv) Investment motives in FY 1999 and FY 2000, and (v) Trends in land investment in
FY 1999 and FY 2000.
Capital spending has been calculated on a construction basis. In general, it is calculated as thetotal of tangible fixed assets including the construction in progress account (without deducting
resale value, loss, and depreciation).
The Scope of Capital Spending
In this survey, capital spending refers to the domestic investment in the tangible fixed assets of
one’s own corporation. This includes buildings, structures and equipment (including ships,
aircraft, rolling stock, tools and instruments, and parts), as well as the purchase and developmentof land (excluding the purchase of land for subdivision in the real estate industry). Accordingly,
this excludes intangible fixed assets, capital spending abroad, and investment in subsidiaries oraffiliated firms.
Date of Survey
February 10, 2000
Responses
The response to the survey is shown below:
Principle BusinessClassification
Investment SpecificClassification

No. of Firms Targeted

No. of Firms Giving
Valid Responses

Proportion of Valid
Responses

3,439

2,965

86.2%

4,177

3,646

87.3%

Development Bank of Japan Research Report/ No. 7

1

Industrial Classification for the Totals
As a rule, the totals for the various industrial sectors have been formed by classifying the amountof investment for each business department in a company’s response according to industrial
sector and then totaling (Investment Specific Classification). In some parts of the analysis,
however, classification and totaling of the companies’ responses has been carried out based on
the main business sector of each company (Principle Business Classification).

2

Development Bank of Japan Research Report/ No. 7

Capital Spending Bottoms Out:
Driven by Electric Machinery

Ⅱ

Summary

1. Overall Condition
Anticipated overall actual capital spending in FY 1999 (all figures are on a construction basis; thegrowth rate is compared with the previous year.) was down 3.4%, the third consecutive year inwhich spending declined. Looking at plans for FY 2000, both the manufacturing sector (up 0.3%)
and the non-manufacturing sector (up 0.2%) are planning increases in capital spending, leading toan increase (up 0.2%) for the entire industrial sector for the first time in four years.
2. Anticipated Actual Capital Spending for FY 1999
Looking at estimated actual capital spending in FY 1999, in spite of the first increase in spending
in three years in the non-manufacturing sector (up 0.8%), manufacturing sector spending will
decline (down 11.8%) for the second consecutive year. As a result, spending will decline for theentire industrial sector (down 3.4%) for the third consecutive year.
3. Planned Capital Spending for FY 2000
Because planned capital spending in FY 2000 will increase for both the manufacturing sector (up0.3%) and the non-manufacturing sector (up 0.2%), capital spending for the entire industrial
sector will rise (up 0.2%) for the first time in four years.
In the manufacturing sector (up 0.3%), large capital spending reductions are anticipated infood and beverages or iron and steel, which plan sharp declines from the large-scale investmentin the prior year. Spending will also be tightly controlled in automobiles and general machinery.
Broad increases in spending for electric machinery (electronic parts such as semiconductors andliquid crystals) because of the vigorous world-wide market for semiconductors and expanding
demand for liquid crystal display panels, however, and spending increases in precision machinery(semiconductor manufacturing devices) and cement, ceramics and glass (for liquid crystal
displays) will result in the first spending increase in the manufacturing sector as a whole in three
years.
In the non-manufacturing sector (up 0.2%), spending for information services intelecommunications and information sector will decline for the second straight year, and the realestate and construction industries plan further cutbacks. Decreases are also planned in railways
and services as spending falls from peak levels in the Tokyo metropolitan area for new transit
lines and the construction of large-scale theme parks. For the sector as a whole spending will risefor the second consecutive year, however, based upon higher spending in the wholesale and retailsector to accelerate new store openings before the Large-Scale Retail Store Siting Law isimplemented, and spending increases planned in electric power and leasing.
A comparison of each half of FY 2000 with the corresponding period in the previous year
shows an increase of 10.0% for the entire manufacturing sector in the first half of FY 2000, while
spending in the second half will be 7.8% below the prior year level.
Development Bank of Japan Research Report/ No. 7

3

In comparison to the previous survey (August 1999), both the manufacturing sector (up 2.8%)
and the non-manufacturing sector (up 7.5%) have been revised upward, and capital spending as awhole has been revised upward by 6.9%.
Looking at the respective shares of different investment motives within the manufacturingsector, there is an increase in ‘expansion of production capacity’, ‘product development andupgrading’ and ‘research and development’ for both materials industries and processing andassembly industries. In particular, capital spending for ‘expansion of production capacity’ will
increase in many industries such as electric machinery or food and beverages but will decline inindustries such as chemicals or automobiles, and such spending will remain at low level for the
manufacturing sector as a whole. On the other hand, the motive ‘new products and productupgrades’ is receiving greater emphasis from processing and assembly industries such as
automobiles, but ‘research and development’ has weakened as an investment motive in industries
such as general machinery or automobiles. No distinct trend at the level of individual firms canbe seen. Capital spending for both ‘rationalization and labor saving’ and ‘maintenance andrepairs’ will decline.
In the non-manufacturing sector, the importance of ‘expansion of production capacity’, which
accounts for more than 60% of investment, will decline slightly.
Planned land investment will drop in both the manufacturing and non-manufacturing sectors,
declining by an impressive 53.6% from the previous year for all industries. As a result the shareof land investment in total capital spending will drop to 2.6%.
The ratio of capital spending to cash flow (net profit/loss plus depreciation expenses) will fallin both the manufacturing sector and the non-manufacturing sector because of an increase in thenumber of firms projecting profit improvements.
Domestic capital spending by foreign-affiliated firms (firms with over one-third foreign
ownership; 141 respondents) will increase by 13.9% to ¥684.4 billion, based upon increased
investments in manufacturing industries such as electrical machinery, transportation machineryand chemicals. Foreign-affiliated firms now account for 2.8% of total capital spending in Japan.
4. Features of Planned Capital Spending for FY 2000
Planned capital spending has been revised upward slightly in both the manufacturing and nonmanufacturing sectors, finally halting the decline in capital spending that continued over the past
three consecutive years. The spending increases pulling spending upward, however, are confined
to only certain industries of the manufacturing sector.
Looking at the characteristics in the manufacturing sector, spurred by increases in demand
within Japan and abroad the electric machinery sector plans broad spending increases insemiconductors and liquid crystal displays, which will also result in large increases in related
sectors such as precision machinery or cement, ceramics and glass. On the other hand, a
restrained spending stance will continue in automobiles, which will have a large ripple effect onother industries, and in the large chemicals industry. Combined with large-scale investment
cutbacks in food and beverages or iron and steel compared to the prior year, the result will bethat driving forces are confined to only selected industries. Given that companies planning toinvest in reorganization to improve manufacturing efficiency can be found even in industries thatare controlling or reducing capital spending, however, a change in the investment posturecompared to the prior year when every sector was restricting spending can be detected.
In non-manufacturing industries the posture for sustaining current spending levels is weak.
In addition to a reduction from causes such as reduced investment in fixed-line or PHS
telephones by the telecommunication and information industries, which played such animportant role in propelling the economy in the previous investment boom, even industries such
4

Development Bank of Japan Research Report/ No. 7

as electric power that plan spending increases may face further demands to improvement
operating efficiency and revise downward.
The mobile telephone industry, however, will continue to increase spending to meet thegrowing demand that will accompany the upgrade of services. The leasing sector is planning
increases as it anticipates growing demand for information-related equipment, and the wholesale
and retail industries as well will invest in systems as they introduce new services using
information technology. Though their shares in the non-manufacturing sector as a whole aresmall, total information-related investment will remain steady.
Trends in Capital Spending in FY 1999 and 2000
(Units: 100 Million Yen, %)FY 1999 Survey (2,748 firms )FY 1998(Actual)GrowthRate
99/98

FY 1999(Est.)FY 2000 Survey (2,965 firms )FY 1999(Est.)FY 2000(Planned)

Growth
Rate
00/99

Total

247,764

239,401-3.4

243,961

244,471

0.2(except Electric Power)
Manufacturing(206,661)
82,137(196,469)
72,431(-4.9)-11.8(201,027)
73,762(199,667)
73,969(-0.7)
0.3

Non-Manufacturing

165,627

166,9700.8

170,199

170,5030.2(except Electric Power)(124,524)(124,038)(-0.4)(127,266)(125,698)(-1.2)(Electric Power)(41,104)(42,932)(4.4)(42,934)(44,804)(4.4)

Comparison with the August 1999 Survey(Revision Rates for Companies in Both Surveys)(Units: %)FY 1999 (Estimated)

FY 2000 (Planned)

Total

-0.4

6.9

(except Electric Power)
Manufacturing

(0.0)
-1.8

(11.1)
2.8

Non-Manufacturing

0.2

7.5

(except Electric Power)(1.1)(13.4)(Electric Power)(-2.4)(0.2)

Note: Revision rate = {this survey (Feb. 2000)/Previous survey (Aug. 1999)-1}×100

Development Bank of Japan Research Report/ No. 7

5

Capital Spending by Industry for Fiscal Year 1999-2000(Units: 100 Million Yen, %)Capital Spending (100 Million Yen)FY1998(Actual)

FY1999(Est.)FY1999(Est.)(2,748 firms)

FY2000(Planned)

Growth Rate (%)

Component Rate (%)

99/98

FY1999(Est.)

00/99(2,965 firms)

FY2000(Planned)(2,965 firms)

Total

247,764

239,401

243,961

244,471

-3.4

0.2

100.0

100.0

except Electric Power206,661

196,469

201,027

199,667

-4.9

-0.7

82.4

81.7

Manufacturing

30.3

82,13772,43173,76273,969

-11.8

0.3

30.2

Food and Beverages

5,638

5,668

5,873

5,296

0.5

-9.8

2.4

2.2

Textiles

960

769

791

772

-19.9

-2.4

0.3

0.3

Paper and Pulp

2,300

1,616

1,637

1,849

-29.8

12.9

0.7

0.8

Chemicals

11,458

9,546

9,903

10,030

-16.7

1.3

4.1

4.1

Organic Chemicals
Pharmaceuticals
Petroleum

5,237

4,425

4,667

4,808

-15.5

3.0

1.9

2.0

2,516
2,105

2,073
1,463

2,102
1,465

2,071
1,432

-17.6
-30.5

-1.5
-2.3

0.9
0.6

0.8
0.6

Cement, Ceramics and Glass

2,379

1,838

1,854

2,036

-22.8

9.8

0.8

0.8

Iron and Steel

5,737

5,189

5,193

3,647

-9.5

-29.8

2.1

1.5

4,645

4,410

4,414

2,949

-5.1

-33.2

1.8

1.2

Non-Ferrous Metals

Ordinary Steel

2,587

1,942

2,042

2,020

-24.9

-1.1

0.8

0.8

General Machinery

6,356

4,813

4,841

4,718

-24.3

-2.5

2.0

1.9

Electric Machinery

18,166

18,33918,69721,065

1.0

12.7

7.7

8.6

Electric Devices, etc.
Precision Machinery

11,478
1,426

11,267
1,231

11,5381,246

14,022
1,479

-1.8
-13.7

21.5
18.7

4.7
0.5

5.7
0.6

Transportation

16,711

14,79814,905

14,596

-11.4

-2.1

6.1

6.0

Automobiles
Other Manufacturing

15,595
6,316

13,977
5,218

14,081
5,314

13,980
5,031

-10.4
-17.4

-0.7
-5.3

5.8
2.2

5.7
2.1

Non-Manufacturing

165,627

166,970

170,199

170,503

0.8

0.2

69.8

69.7

except Electric Power
Construction

124,524
2,886

124,038
1,908

127,266
1,934

125,698
1,687

-0.4
-33.9

-1.2
-12.8

52.2
0.8

51.4
0.7

Wholesale and Retail12,617

11,004

11,982

12,146

-12.8

1.4

4.9

5.0

RetailReal Estate

9,505
11,483

8,741
8,742

9,673
9,022

10,004
7,470

-8.0
-23.9

3.4
-17.2

4.0
3.7

4.1
3.1

Transportation

18,713

20,693

20,861

19,146

10.6

-8.2

8.6

7.8

Railways

12,415

14,281

14,283

13,623

15.0

-4.6

5.9

5.6

Marine Transport

1,042

586

631

319

-43.8

-49.4

0.3

0.1

Airlines

1,922

2,415

2,415

1,796

25.6

-25.6

1.0

0.7

1,450
44,843

2,216
46,4392,249
46,441

2,039
48,653

52.8
3.6

-9.3
4.8

0.9
19.0

0.8
19.9

Warehousing, etc.
Electric Power and City Gas
Electric Power41,10442,93242,93444,804

4.4

4.4

17.6

18.3

City Gas
Telecom. and Information

3,740
28,3483,507
26,7793,507
26,876

3,848
26,832

-6.2
-5.5

9.7
-0.2

1.4
11.0

1.6
11.0

Leasing

42,95346,32447,89849,972

7.8

4.3

19.6

20.4

Services

3,376

4,681

4,784

4,264

38.7

-10.9

2.0

1.7

Other Non-Manufacturing

409

401

401

335

-2.2

-16.3

0.2

0.1

Note:

6

Other Manufacturing Industries includes publishing and printing, rubber, metal products and other.
Other Non-Manufacturing Industries includes fishing, mining and other.

Development Bank of Japan Research Report/ No. 7

Ⅲ

Survey Results

1. Anticipated Actual Capital Spending for FY 1999
OutlineAnticipated total actual capital spending for FY 1999 is expected to fall 3.4% from the previous
year, the third year in a row that spending will decline. Spending in the manufacturing sector will
decline 11.8%. Despite higher spending in food and beverages for construction of new factories
or large-scale capital improvements and an increase in research and development spending inelectric machinery, spending cutbacks in all other sectors will result in a decline for
manufacturing as a whole for the second year running. In the non-manufacturing sector (up0.8%), telecommunications and information sector spending will decline due to restrictions on
investment in fixed-line telephones and a broad-based drop in spending on information services.
The wholesale and retail sector will also maintain its underlying tone of restricted investment,
especially increasing the size of spending cuts because of lower head office-related investment.
Because of higher railway sector spending as construction proceeds on new lines in the Tokyo
metropolitan area, however, plus spending by the service sector for large-scale theme parks andspending increases anticipated by the electric power and leasing industries, spending will increase
for the non-manufacturing sector as a whole for the first time in three years.
Trends by Industrial Sector
The trends in anticipated actual capital spending for FY 1999 classified according to industrial
sector, are as follows. Numbers in curly brackets { } show the percentage of total capitalspending accounted for by each sector.
Materials (down 17.8%) {8.8%}
Spending will decrease in all industries in the materials sector. Because of large-scale reductions inchemicals, which accounts for a large portion of the sector, and in many other industries,
spending will decline for the second year running and the size of the decline will also increase.
In chemicals, tight controls on spending can be seen in the organic chemicals segment, while
spending for factory construction in the pharmaceuticals industry will drop, and spending in the
inorganic chemicals and other chemicals industries will also decline. Controls on spending in ironand steel and textiles will be tightened, and in paper and pulp spending will decline sharply
following completion in the prior year of increased investments in production capacity forcontinuous papermaking machinery for coated papers and newsprint. The non-ferrous metals
industry will also see substantial reductions because spending for cable-related investment will
decline and preparations for mass production of 300mm wafers have peaked. The size of thedecline for the cement, ceramics and glass industry will be larger, due to cutbacks in large-scale
investment in cement.

Development Bank of Japan Research Report/ No. 7

7

Processing and Assembly (down 8.3%) {20.9%}
Spending in the processing and assembly industry will decline for the second year running. A
return to increased spending for electric machinery, which makes up a large portion of theindustry, and a small spending increase in food and beverages, will be offset by increases in thesize of continuing cutbacks in automobiles, general machinery and precision machinery.
For electric machinery, an increase in spending in the electronic devices industry for researchand development will compensate for declines in spending for electronic parts and electric
devices, resulting in the first spending increase in three years. In food and beverages, overall
spending will increase slightly because of spending in the other food products segment for new
factory construction or large-scale investments in facility improvements.
The automobile industry, on the other hand, will implement a double-digit cutback by
restricting or squeezing capital equipment spending and lowering investment in new vehicle
development. Spending in the general machinery industry will also be curtailed substantiallybecause of the underlying tone of spending restraint and reactionary cuts following wide-scale
investments in the prior fiscal year. In precision machinery, there will be lower investment for
semiconductor wafer manufacturing equipment and in watches and measuring devices, resulting
in a double-digit drop.
Energy (up 2.1%) {19.7%}
The energy sector is anticipating an increase in capital spending for the first time in six years.
In the electric power industry, the underlying tone is one of control on investment, but theindustry plans to increase spending for ongoing construction of power source development
projects such as nuclear power generation. Spending will decline in the city gas industry for the
fourth year running following reductions for large-scale LNG facility construction and fuelsupplies. In petroleum as well attitudes toward investment have become more conservative andspending will be reduced across a broad scale.
Non-Manufacturing, excluding Energy (down 0.2%) {50.6%}
For the non-manufacturing sector excluding energy, spending will increase in leasing,transportation and services. Despite these spending increases, overall spending will decline forthe third year in a row because spending will be reduced in the real estate, construction,
wholesale and retail, and telecommunications and information industries.
The leasing industry anticipates a return to higher spending, following improvement in thefund procurement climate and planned acquisition of leasing assets following the industry
restructuring. In transportation, spending will increase as railway companies proceed withspending to build new tracks in the Tokyo metropolitan area and extend existing lines.
Spending in the services industry will expand broadly, spurred by construction of a large-scaleoceanfront theme park.
On the other hand, spending will be squeezed in real estate in spite of office building projects
in the Tokyo metropolitan area, and spending in construction will continue to decline. In thewholesale and retail industry, spending will decline for the third consecutive year. Wholesalesegment spending will fall in reaction to earlier spending to acquire land for offices and as
investment in distribution centers is curtailed, while controls on supermarket spending and amore cautious spending stance by convenience store chains will reduce retail industry spending
despite investment for the purchase of department stores and shops. The telecommunications
and information industry will maintain an expansive investment posture for cellular telephones tomeet increased demand, but spending for information services will decline in reaction toincreased systems or headquarters-related investment in the prior year.
8

Development Bank of Japan Research Report/ No. 7

Trends in Capital Spending by Industry Sector
Growth Rate (%)

Share (%)

FY1996

FY1997

FY1998FY1999FY2000

FY1996

FY1997

FY1998FY1999FY2000Materials Processing

1.0

3.6

-12.8

-17.8

-5.0

9.4

10.0

9.7

8.8

8.3

Paper and Pulp

36.1

4.8

-33.8

-29.8

12.9

1.2

1.3

1.0

0.7

0.8

Chemicals

8.9

14.5

-10.2

-16.7

1.3

3.7

4.3

4.3

4.1

4.1

Iron and Steel

-19.1

-12.0

0.3

-9.5

-29.8

2.2

2.0

2.2

2.1

1.5

Processing andAssembly

10.0

7.3

-12.1

-8.3

2.6

20.3

21.7

21.0

20.9

21.3

-1.1

13.5

-12.1

0.5

-9.8

2.0

2.2

2.2

2.4

2.2

Food and Beverages
Electric Machinery

2.0

-1.1

-21.9

1.0

12.7

8.2

8.0

7.2

7.7

8.6

Automobiles

22.4

17.0

-4.2

-10.4

-0.7

4.8

5.6

5.9

5.8

5.7

Energy Related

-5.4

-9.4

-9.2

2.1

4.5

19.8

17.8

17.6

19.7

20.6

Petroleum

-22.0

-32.2

-32.5

-30.5

-2.3

1.7

1.1

0.8

0.6

0.6

Electric Power

-2.2

-7.9

-8.0

4.4

4.4

16.7

15.3

15.4

17.6

18.3

excluding Energy

10.7

-2.8

-4.8

-0.2

-1.5

50.4

50.5

51.6

50.6

49.8

Construction

-8.8

-10.5

-16.6

-33.9

-12.8

1.4

1.3

1.2

0.8

0.7

Wholesale and Retail

10.5

-7.0

-1.7

-12.8

1.4

4.9

4.4

4.8

4.9

5.0

Real Estate

-18.3

2.0

-19.2

-23.9

-17.2

3.2

4.6

4.3

3.7

3.1

Transportation

12.4

-10.2

-8.8

10.6

-8.2

8.5

7.2

7.0

8.6

7.8

Telecom. and Information

28.0

-6.1

3.7

-5.5

-0.2

15.2

14.5

16.4

11.0

11.0

Leasing

7.8

5.1

-6.5

7.8

4.3

16.0

17.3

16.5

19.6

20.4

Non-Manufacturing

Services

-17.8

-5.3

-7.1

38.7

-10.9

1.1

1.2

1.3

2.0

1.7

All Industries

6.0

-1.5

-8.0

-3.4

0.2

100.0

100.0

100.0

100.0

100.0

excluding Electric Power

7.8

-0.2

-8.0

-4.9

-0.7

83.3

84.7

84.6

82.4

81.7

Manufacturing

4.8

4.1

-13.0

-11.8

0.3

31.4

32.8

31.6

30.2

30.3

Non-Manufacturing

6.5

-4.0

-5.6

0.8

0.2

68.6

67.2

68.4

69.8

69.7

excluding Electric Power

9.7

-2.8

-4.9

-0.4

-1.2

51.9

51.9

53.0

52.2

51.4

Notes

1. Materials: textiles; paper and pulp; chemicals; cement, ceramics and glass; iron and steel; non-ferrous
metalsProcessing and assembly: food and beverages; general machinery; electric machinery; precision
machinery; transportation; other manufacturing
Energy: petroleum; electric power; city gas and coal, crude oil and natural gas
Non-manufacturing, excluding energy: Non-manufacturing industries excluding electric power; city gas
and coal, crude oil and natural gas
2. Share % figures for FY 1999 and FY 2000 are based on 2,965 companies that were included in thesurvey in both years.

Development Bank of Japan Research Report/ No. 7

92. Planned Capital Spending for FY 2000
OutlineTaking a look at planned capital spending in FY 2000, both the manufacturing sector (up 0.3%)
and the non-manufacturing sector (up 0.2%) will return to spending increases, resulting in thefirst increase (up 0.2%) as a whole for the first time in four years.
In the manufacturing sector (up 0.3%), large capital spending reductions are planned in foodand beverages and iron and steel, which will fall sharply from the large-scale investment levels of
the prior year. Spending will also be tightly controlled in automobiles and general machinery.
Broad spending increases for electric machinery (electronic parts such as semiconductors andliquid crystals) because of the vigorous world-wide market for semiconductors and expanded
demand for liquid crystal display panels, however, plus higher spending in precision machinery(semiconductor manufacturing devices) and cement, ceramics and glass (glass for liquid crystal
displays), will result in the first spending increase in the manufacturing sector in three years.
In the non-manufacturing sector (up 0.2%), spending for information services in thetelecommunications and information sector will decline for the second straight year, and the realestate and construction industries are planning further cutbacks. Decreases are also planned inrailways and services as spending drops from peak levels for new transit lines in the Tokyo
metropolitan area and the construction of large-scale theme parks. For the sector as a whole
spending will rise for the second consecutive year, however, based upon planned spending
increases in the wholesale and retail sector to accelerate new store openings before the LargeScale Retail Store Siting Law becomes effective, and spending increases planned in electric power
and leasing.
Trends by Industrial Sector
The trends in planned capital spending for FY 2000, classified according to industrial sector, areas follows. Numbers in curly brackets { } show the percentage of total planned capital spending
accounted for by each sector.
Materials (down 5.0%) {8.3%}
Materials sector capital spending will drop despite increases in some industries such as chemicals,a large industry in this sector, reflecting the large-scale decreases in industries such as iron andsteel. The result will be lower capital spending for the sector as a whole for the third year
running.
In chemicals, investment will increase for the first time in three years because of increases incapital spending for manufacturing efficiency improvements in organic chemicals as well as
higher spending in other chemicals. In addition, spending will turn upward in the paper and pulp
industry for investment to add new continuous papermaking equipment for paper manufactured
from cardboard stock, and cement, ceramics and glass investment will grow for the first time infive years because of higher investment in glass for liquid crystal displays.
On the other hand, an underlying tone of investment restraint will continue in the iron andsteel industry, which together with a drop from the large-scale investments of the prior year will
result in a large spending decline. In non-ferrous metals spending will continue to fall despite adecrease in the size of the decline, reflecting the tone of underlying investment restraint in areas
such as smelting. In addition to the ongoing underlying tone of restrained investment in textiles,
the completion of headquarters-related investments in part of the industry will also contribute toa spending decline.

10

Development Bank of Japan Research Report/ No. 7

Processing and Assembly (up 2.6%) {21.3%}
Planned capital spending in the processing and assembly sector will increase for the first time inthree years, reflecting an increase in the size of spending increases in electric machinery, which
accounts for a large share of the segment, as well as a return to healthy increases in precision
machinery.
In the electric machinery industry, spending will take a large upward swing for investment incapacity expansion for semiconductors or liquid crystals following the worldwide activity in thesemiconductor market and the growth in demand for liquid crystal display panels, compensating
for spending declines in electronic devices and leading to double-digit growth. Spending for
precision machinery will also increase, as a result of the strong increase in semiconductor
manufacturing devices.
On the other hand, food and beverage industry spending will decline, as investment iscurtailed in response to spending for new factories in the prior year for beer and alcoholic
beverages or other foods. In the automobile industry, spending restraints will remain in place andspending will decline slightly as spending for parts and auto bodies continues to decline, despite areturn to investment in some companies for four-wheel vehicles. Moreover, investment will fallin the general machinery industry despite increases in office and household machinery for new
product development, as cuts made in response to prior year spending for general equipment
parts result in another year of spending declines, although smaller than in the previous year.
Energy (up 4.5%) {20.6%}
The energy sector is expected to show a small amount of growth, producing two consecutive
years of positive growth.
The electric power industry is planning to increase spending as the nine major powercompanies move ahead with construction related to development of power sources such as
thermal energy, despite a decrease in the wholesale electric power supply business. In the gas
industry, construction of LNG bases and spending for fuel supplies will result in higher spending
for the industry as a whole for the first time in five years. The petroleum industry, on the other
hand, plans small overall cuts for the eighth consecutive year, despite some investment related toindustry concentration, as the underlying tone of investment restraint for facilities such as
refineries continues.
Non-Manufacturing, excluding Energy (down 1.5%) {49.8%}
Looking at non-manufacturing industries excluding energy, the leasing industry will continue toexpand investment and the wholesale and retail industry is planning to increase capital
investment. But cuts in transportation, real estate, services, construction, and telecommunications
and information spending will result in the fourth straight year of falling capital spending in nonmanufacturing industries excluding energy.
The leasing industry expects to continue expanding equipment investment because of theincrease in demand to replace capital investment with leased equipment and/or the increase indemand for information-related equipment. In the wholesale and retail industries, the wholesalesegment is looking at the second consecutive year of spending declines. The industry as a whole,
however, will see its first spending increase in four years as part of the retail sector accelerates
store investment before implementation of the Large-Scale Retail Store Siting Law.
In transportation, the railway segment will have passed the peak of construction for new
railway lines and extension of existing lines in the Tokyo metropolitan area and will reduce
spending, while the airlines industry is also planning to sharply reduce spending as it restrains
equipment introductions following efficiency improvements. Moving on to real estate, theDevelopment Bank of Japan Research Report/ No. 7

11

industry plans double-digit cutbacks for the third year running due to the end of a cycle ofregional projects, despite progress in building redevelopment projects in the Tokyo metropolitan
area. The services industry capital spending will decline, as construction of large-scale theme park
projects winds down and construction of some hotels and inns is completed. The constructionindustry will continue spending restraints due to the uncertain outlook of business conditions.
Looking at the telecommunications and information technology industry, overall spending will
decrease slightly due to ongoing cutbacks in spending for information services systems, although
the telecommunication sector that accounts for the majority of the industry will maintain its
stance of expansion to meet growing demand for cellular telephones.
Trends and Features of Capital Spending by Industry
Trends and features of capital spending for main industries are shown below. The figures inround parentheses ( ) indicate the rate of growth in capital spending for the industry in question(FY 1999 → FY 2000). The figures in curly brackets { } show the industry’s share of planned
spending for FY 2000 as a percentage of the total value for all industries.
Materials
Chemicals: (-16.7% → 1.3%) {4.1%}
For organic chemicals, which accounts for the majority of the chemical industry, investment toincrease production efficiency is expected to increase, and spending in other chemicals will also
grow. For pharmaceuticals and inorganic chemicals, spending will continue to drop, but the sizeof the decline will be smaller because of spending to increase production capacity, resulting in thefirst capital spending increase in chemicals as a whole in three years.
Iron and Steel: (-9.5% → -29.8%) {1.5%}
Because the underlying tone of investment restraint will continue and capital spending for largescale projects of the previous fiscal year will also be sharply curtailed, total industry spending will
fall significantly.
Non-Ferrous Metals: (-24.9% → -1.1%) {0.8%}
Despite an increase in spending for rolled steel or wire and cable, the industry as a whole will
reduce capital spending for the third year in a row as it controls investment in areas such as
smelting.
Paper and Pulp: (-29.8% → 12.9%) {0.8%}
Spending will increase for the first time in three years as the industry invests to increase
continuous paper manufacturing machine capacity for paper made from recycled cardboard
stock.
Cement, Ceramics and Glass: (-22.8% → 9.8%) {0.8%}
The cement industry will continue to keep controls on spending, but the glass industry plans adouble-digit spending increase as it increases production of glass for liquid crystal displays. The
ceramics industry will also add capacity related to electronic parts. As a result, the industry as awhole will increase spending for the first time in five years.

12

Development Bank of Japan Research Report/ No. 7

Textiles: (-19.9% → -2.4%) {0.3%}
As the underlying tone of investment restraint continues, and headquarters-related spending iscompleted, total spending will decline for the third year running.
Processing and AssemblyElectric Machinery: (1.0% → 12.7%) {8.6%}
In the electronic parts sector, which accounts for the majority of the electric machinery industry,
there will be a return to increased spending as companies invest to improve the performance ofsemiconductors and liquid crystals. Despite a reactionary decline in spending in electronic
instruments following investments in land in the prior year, spending for electric devices will
increase for the first time in four years. Capital spending in the electric machinery industry as awhole will grow by double digits.
Automobiles: (-10.4% → -0.7%) {5.7%}
For four-wheel vehicles, investment restraints will continue. Nevertheless, total industry
investment for vehicles will increase because of higher spending by selected firms as they move
forward with their rebuilding business. Controls on spending for components and car bodies willcontinue and investment will continue to decline. For the automobile industry overall there will
be a decline in capital spending for the third straight year, although the size of the decline will besmaller.
Food and Beverages: (0.5% → -9.8%) {2.2%}
Investments in processed meat and dairy products and for flour milling, sugar manufacture, andedible oils will continue to decline. Combined with a decrease in construction investment in beer
and other alcoholic beverages and for other food products following new factory construction in
the prior year, capital spending in the food and beverages industry as a whole will fall.
General Machinery: (-24.3% → -2.5%) {1.9%}
Although investment in general machinery parts will decline in reaction to prior year spending
levels, spending for investment in new office and household machine products and investments
focused on rationalization of boilers and motors will increase. The underlying tone of restraint on
spending for metal processing machinery and industrial machinery will also continue, but because
the size of spending decreases will be smaller, the size of the capital spending decline in thegeneral machinery industry as a whole will be greatly reduced.
Precision Machinery: (-13.7% → 18.7%) {0.6%}
Capital spending for semiconductor manufacturing equipment will increase as the industry enjoys
a bullish outlook for semiconductors and liquid crystals, and investment in clocks and measuring
instruments will also rise. In spite of a decline in spending in medical instruments, capitalspending for the precision machinery industry as a whole will enjoy double-digit growth.
EnergyElectric Power: (4.4% → 4.4%) {18.3%}
Investment in the wholesale electric power supply business will decrease. Although the basic
underlying tone of restrictions on investment will continue at the nine major electric powercompanies, an increase in spending is planned as the result of progress in construction fordevelopment of power sources such as thermal energy, and the industry as a whole plans to
Development Bank of Japan Research Report/ No. 7

13

increase spending.
Gas: (-6.2% → 9.7%) {1.6%}
Spending will continue to increase in the city gas industry for construction of new LNG bases,
and the LNG industry as well is planning large-scale increases. Spending for fuel supplies will also
increase. As a result, capital spending in the gas industry as a whole will increase for the first timein five years.
Petroleum: (-30.5% → -2.3%) {0.6%}
Although there will be increased investment to concentrate distribution facilities as industry
reorganization proceeds, the underlying tone of restrained investment in refineries will continue,
meaning an overall decline in capital spending in the petroleum industry for the eighthconsecutive year though the size of the decline is small.
Non-Manufacturing Industries, excluding Energy
Leasing: (7.8% → 4.3%) {20.4%}
Increased investment is again projected in the leasing industry as demands to replace capital
investment with leased equipment increase and demand for information-related equipment is
expected to grow.
Telecommunications and Information Services: (-5.5% → -0.2%) {11.0%}
For telecommunications, which is the mainstay of this sector, overall spending will increase
despite a drop in large-scale capital spending for satellite telecommunications and a continuing
decline in spending for fixed-line and PHS telephones, as an expansive tone continues for highlevels of investment for cellular phones. As an expansive tone continues for high levels ofinvestment for cellular phones. Capital spending in information services, on the other hand, willcontinue to fall. As a result, capital spending in the telecommunications and information industry
as a whole will decline for the second year in a row.
Railways: (15.0% → -4.6%) {5.6%}
After reaching a peak in spending for construction of new lines and line extensions in the Tokyo
metropolitan area, spending will decline.
Wholesale and Retail: (-12.8% → 1.4%) {5.0%}
In the wholesale sector, capital spending will drop for the second year in a row in spite ofinvestment for office buildings and redevelopment. In the retail sector, some department stores,
cooperatives and specialty stores are planning to accelerate store building in anticipation of theLarge-Scale Retail Store Siting Law that will go into effect in June 2000. As a result, spending in
the wholesale and retail industry as a whole will increase for the first time in four years.
Real estate: (-23.9% → -17.2%) {3.1%}
Although there will be renewed development of large-scale office buildings in the Tokyo
metropolitan area, there will also be a pause in large-scale regional projects, and spending will fallby double digits for the industry as a whole.
Services: (38.7% → -10.9%) {1.7%}
Capital spending for the industry as a whole will decline as spending for the construction of a
14

Development Bank of Japan Research Report/ No. 7

large-scale oceanfront theme park project winds down and as the construction of some large
hotels ended.
Warehousing and Transportation: (52.8% → -9.3%) {0.8%}
Capital spending will decline due to reduced spending for construction related to airports andlower investment in transportation facilities.
Construction: (-33.9% → -12.8%) {0.7%}
The overall squeeze on investment by general construction contractors will continue as thebusiness climate remains uncertain in this industry, resulting in the eighth straight year of
cutbacks in spending.
Airlines: (25.6% → -25.6%) {0.7%}
Investment in new above-ground facilities and purchases of spare parts will result in higher
capital spending, but the number of new aircraft introduced into service will decline as the largest
carriers plan for operating efficiency improvements, which will result in a broad-based decline inspending.
Marine Transport: (-43.8% → -49.4%) {0.1%}
Because of spending cuts for LNG transport ship construction, investment will continue todecline sharply.
3. Investment Motives
Investment Motives in the Manufacturing and Non-Manufacturing Sectors in FY 2000
Looking at the respective shares of each category of investment motive for the manufacturingsector in FY 2000, in both materials industries and processing and assembly industries ‘expansionof production capacity’, ‘product development and upgrading’ and ‘research and development’will increase. Turning to ‘expansion of production capacity’ specifically, this will increase in manyindustries such as electric machinery or foods and beverages, and the actual amounts spent aswell will increase broadly in most industries such as electric machinery. In industries with a great
deal of influence such as chemicals or automobiles, however, ‘expansion of production capacity’will decline as an investment motive. The share of spending for ‘product development andupgrading’ will increase, spurred by processing and assembly industries such as automobiles.
Despite greater emphasis on ‘research and development’ as a motive for capital investment forindustries such as electric machinery, however, R&D is not very prominent as an investment
motive when viewed at the level of individual firms. Spending for ‘rationalization and laborsaving’ as well as for ‘maintenance and repairs’ will fall.
For the non-manufacturing sector, on the other hand, the motive ‘expansion of production
capacity’ will decline slightly in importance from the prior year, when it accounted for about 64%
of capital spending.
Investment Motives in the Manufacturing Sector for ‘Materials’ and ‘Processing andAssembly’ Industries
We now look at the respective shares of each category of investment motive within the
manufacturing sector, comparing ‘materials’ industries with ‘processing and assembly’ industries.
For materials industries, the motives ‘rationalization and labor saving’, and ‘maintenance andDevelopment Bank of Japan Research Report/ No. 7

15

repairs’ are at a high level, whereas for processing and assembly industries the levels are high for‘product development and upgrading’ and ‘research and development’.
The significant trends in investment motives for materials industries in FY 2000 are:(i) Except in the chemicals sector where investment will continue to be restrained, there will be
an increase in ‘expansion of production capacity’ (18.1% → 20.6%) in all industries such as
textiles, paper and pulp, and cement, ceramics and glass.
(ii) An increase in ‘research and development’ (7.4% → 8.0%) in the chemicals industry.
(iii) A decline in ‘rationalization and labor saving’ (25.5% → 23.9%) in non-ferrous metals andtextiles.
(iv) A decrease for many industry sectors, such as textiles or iron and steel, in ‘maintenance andrepairs’ (28.7% → 28.1%).
The significant trends for processing and assembly industries are:(i) A rise in ‘expansion of production capacity’ (25.0% → 26.7%) in the majority of industries
such as electric machinery or food and beverages, with the exception of the automobile
industry, where spending will continue to be restrained.
(ii) An increase in ‘product development and upgrading’ (23.4% → 23.9%) thanks toreactionary spending increases in part of the automobile industry as that industry’s
reorganization moves ahead.
(iii) An increase in ‘research and development’ (11.5% → 11.6%), thanks in part tocontributions from electric machinery investment.
Moreover, the amount of investment for reasons such as ‘product development andupgrading’ will show healthy increases in industries such as the electric machinery industry andthe cement, ceramics and glass industries because of expansion to meet the demand forsemiconductors, liquid crystal displays and related products.
Shift in Investment Motives within the Manufacturing Sector
We now look at the change in the percentage share of each investment motive category for the
manufacturing sector. For this sector as a whole, the percentage of investment for ‘expansion of
production capacity’ will increase from 23.2% to 25.2% as a result of higher spending in thiscategory by the majority of sectors including electric machinery, food and beverages, and textiles,
despite lower spending by the chemicals, automobiles and petroleum industries, which play sucha large role in manufacturing.
For ‘product development and upgrading’, the majority of the processing and assembly
industries such as paper and pulp and chemicals as well as food and beverages will decrease, but
thanks to higher spending by the automobile industry, which accounts for a large share of this
sector, this category will show an overall increase from 17.7% to 18.5%.
‘Rationalization and labor saving’ will drop from 17.5% to 16.9% following reductions in
sectors such as automobiles and non-ferrous metals, despite increases in industries such as
chemicals and electric machinery.
An increase in the importance of ‘research and development’ in the highly influential electricmachinery industry and in chemicals and other sectors will result in an overall increase from 9.9%
to 10.2%.
‘Maintenance and repairs’ shows a decrease from 18.9% to 18.3%, due to declines for the
majority of industries, including automobiles and textiles.

16

Development Bank of Japan Research Report/ No. 7

Investment Motives(Unit: %)All industries

Manufacturing

Non-Manufacturing(1,996 firms)

Materials

Processing and Assembly

FY1999Est.

FY2000PlannedFY1999Est.

FY2000PlannedFY1999Est.

FY2000PlannedFY1999Est.

FY2000PlannedFY1999Est.

FY2000Planned

Expansion of Production
Capacity

53.4

53.6

23.2

25.2

18.1

20.6

25.0

26.7

64.0

63.5

Product Development
and Upgrading

7.6

7.7

17.7

18.5

7.9

7.9

23.4

23.9

4.1

4.0

Rationalization andLabor Saving

6.8

6.4

17.5

16.9

25.5

23.9

13.9

14.1

3.1

2.8

Research andDevelopment

3.2

3.3

9.9

10.2

7.4

8.0

11.5

11.6

0.8

0.8

Maintenance and Repairs

14.4

15.0

18.9

18.3

28.7

28.1

13.6

13.4

12.8

13.9

Others

14.6

14.0

12.8

10.9

12.4

11.5

12.7

10.3

15.3

15.1

Total

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

4. Trends in Land Investment (Classified According to Principal Business Sector)
Anticipated Actual Land Investment in FY 1999
Anticipated actual land investment in FY 1999 (based on figures for the 1,781 firms that gave
responses regarding both FY 1998 and FY 1999) was down 41.6% compared with the previous
fiscal year, the third straight year of decline. Despite investment in land for their own buildings
by companies in the electric machinery sector and investments in the transportation section forland for facilities within airports, there is no other conspicuous investment and overall spending
for land investment as a whole will drop sharply from the previous fiscal year. As a result, land
investment will account for 5.7% of capital spending (4.7% in the manufacturing sector, 6.1% in
the non-manufacturing sector).
Planned Land Investment in FY 2000
Planned land investment in FY 2000 (based on figures for the 2,120 firms that gave responses
regarding both FY 1999 and FY 2000) is down 53.6% on the previous year (land investment
accounts for 2.6% of all investment planned for FY 2000), although it is far more unpredictable
than FY 1999 plans.
For land investments, there is a tendency for amounts to be revised upward substantially as
the investment process moves from the planning stage to the point of actual investment.

Development Bank of Japan Research Report/ No. 7

17

Trends in Land Investment (Classified according to principal business)(Unit: 100 Million Yen)FY1998FY1999(Actual)(Est.)(1,781 firms)
Total
Total Investment
Investment except Land
Investment in Land
(Share of Land %)Manufacturing
Total Investment
Investment except Land
Investment in Land
(Share of Land %)Non-Manufacturing
Total Investment
Investment except Land
Investment in Land
(Share of Land %)Growth Rate
(%)
99/98

FY1999FY2000(Est.)(Planned)(2,120 firms)

Growth Rate
(%)
00/99

138,956
125,877
13,079(9.4)

133,384
125,752
7,633
(5.7)

-4.0
-0.1
-41.6

147,977
139,698
8,279
(5.6)

145,736
141,891
3,844
(2.6)

-1.5
1.6
-53.6

42,28039,4762,805(6.6)

35,44133,787
1,654
(4.7)

-16.2
-14.4
-41.0

43,412
41,2672,145(4.9)

41,462
41,079
383
(0.9)

-4.5
-0.5
-82.2

96,676
86,402
10,274(10.6)

97,944
91,965
5,979
(6.1)

1.3
6.4
-41.8

104,566
98,432
6,134(5.9)

104,274
100,812
3,462
(3.3)

-0.3
2.4
-43.6

Growth Rate of Investment in Land
Total of All Industries

93

94

95

96

97

98

2000 Year

99

30
20

18.1

10
0
-10
(%) -20
-30
-40

-11.1

-14.8
-18

-16.5
-24.5
-31.9
-36.3

-22.7
-28.8

-4.3

-6.5

-26.2
-31.6
-40.7

-41.6

-41.6

-47.6

-50

-56.7

-60
-70
実績
ActualEstimated (Survey in February of the Following Year)
実績見込（翌年２月調査）
Planned （当年２月調査）(Survey in February of the Same Year)
計画

18

-53.6
-58.3

Development Bank of Japan Research Report/ No. 7

5. Trends in Capital Spending by Foreign-Affiliated Firms (Classified According to
Principal Business Sector)
Of the total number of corporations who responded to both FY 1999 and FY 2000 surveys(2,965 firms), 141 were classified as foreign-affiliated firms (firms with over one-third foreign
ownership). They account for 2.8% of total capital spending (FY 2000).
Anticipated actual capital spending for FY 1999 will increase slightly (up 2.4%) from theprevious year. In the manufacturing sector, spending will decrease by double digits (down 11.1%)
in spite of higher capital spending in the electric machinery sector, due to large spending drops insectors such as chemicals and general machinery. Spending in the non-manufacturing industry
sector will increase sharply (up 62.7%), reflecting large-scale investment in the services industry.
Planned capital spending for FY 2000 will increase overall by 13.9%. Spending by the
manufacturing industry sector will turn upward (up 19.4%) because of higher spending in sectors
such as electric machinery and transportation. The non-manufacturing industry sector, on theother hand, plans to slightly reduce spending (down 0.4%).
Capital Spending by Foreign Affiliated Firms
Capital Spending (100 Million Yen)
FY98
(Actual)

FY99(Est.)(127 firms)

FY99(Est.)

FY2000(Planned)

Growth Rate (%)

Share (%)

99/98

00/99

FY2000(141 firms)(of All Firms)

4,675

4,787

6,008

6,844

2.4

13.9

100.0

2.8

Manufacturing

3,818

3,393

4,341

5,183

-11.1

19.4

75.7

6.9

Non-Manufacturing

857

1,394

1,667

1,661

62.7

-0.4

24.3

1.0

Materials Processing

1,429

1,034

1,071

1,351

-27.6

26.2

19.7

6.3

Processing and Assembly

1,822

1,940

2,851

3,444

6.5

20.8

50.3

6.6

Energy Related

567

420

420

388

-26.0

-7.7

5.7

0.8

Non-Manufacturing
excluding Energy

857

1,394

1,667

1,661

62.7

-0.4

24.3

1.4

Total

(141 firms)

By sector

Note:

Foreign-affiliated firms are firms with over one-third foreign ownership

Development Bank of Japan Research Report/ No. 7

19

List of Back Numbers (Including JDB Research Report)
No.7

Survey on Planned Capital Spending for Fiscal Years 1999 and 2000 (This Issue)

No.6

Current Status and Future Perspective of the Japanese Remediation Industry: Technology and Market for
Underground Remediation, May 2000

No.5

Recent Trends in the Japanese Economy: The 1990s in Retrospect, March 2000

No.4

Destabilized Consumption and the Post-bubble Consumer Environment, February 2000

No.3

The Slump in Plant and Equipment Investment in the 1990s: Focusing on Lowered Expectations, the Debt
Burden and Other Structural Factors, January 2000

No.2

Survey on Planned Capital Spending for Fiscal Years 1998, 1999 and 2000, November 1999

No.1

Corporate Strategies in Japan’s Semiconductor Industry: Implications of Development in Other AsianCountries, November 1999

JDB Research Report
No.96

Recent Trends in the Japanese Economy: Focused on Fixed Investment and Capital Stock, August 1999

No.95

Efforts to Protect the Natural Environment in the United States and Germany: Environmental Mitigation
and Biotope Conservation, July 1999

No.94

Survey on Planned Capital Spending for Fiscal Years 1998 and 1999, June 1999

No.93

Towards the realization of ‘environmental partnership’: A survey of Japan’s environmental NPO sector
through comparison with Germany, June 1999

No.92

The Impact of Demographic Changes on Consumption and Savings, March 1999

No.91

Recent Research and Development Trends in Japanese Enterprises: Technology Fusion, March 1999

No.90

Recent Trends in the Japanese Economy: Prolonged Balance Sheet Adjustment, January 1999

No.89

Impact of Asset Price Fluctuations on Household and Corporate Behavior: A Comparison between Japanand the U.S., December 1998

No.88

Survey on Planned Capital Spending for Fiscal Years 1997, 1998, and 1999, December 1998

No.87

Foreign Exchange Rate Fluctuations and Changes in the Input-Output Structure, November 1998

No.86

Structural Changes in Unemployment of Japan: An Approach from Labor Flow, November 1998

No.85

Recent Trends in the Japanese Economy: Characteristics of the Current Recession, August 1998

No.84

R&D Stock and Trade Structure in Japan, August 1998

No.83

Survey on Planned Capital Spending for Fiscal Years 1997 and 1998, August 1998

No.82

The Significance, Potential, and Problems of DNA Analysis Research: Establishing Public Acceptance isEssential, May 1998

No.81

The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1996, 1997 and 1998
Conducted in August 1997, March 1998

No.80

Recent Trends in the Japanese Economy: Growth Base of the Japanese Economy, January 1998

No.79

Information Appliances: The Strength of Japanese Companies and Tasks for the Future, January 1998

No.78

Challenges and Outlook for the Japanese Machinery Industries: Impact of ISO14000 Series andEnvironmental Cost, January 1998

No.77

Current Conditions and Issues of Computerization in the Health Care Industry : For the Construction of a
Health Care Information Network, January 1998

No.76

Household Consumption and Saving in Japan, December 1997

No.75

The Direction of Japanese Distribution System Reforms: Strengthening the Infrastructure to Support
Diverse Consumer Choices, November 1997

No.74

Foreign Direct Investments by Japanese Manufacturing Industries and Their Effects on International Trade,
October 1997

No.73

The Impact of the Changing Trade Structure on the Japanese Economy: With Special Focus on the Effects
on Productivity and Employment, October 1997

No.72

An Analysis of Foreign Direct Investment and Foreign Affiliates in Japan, August 1997

No.71

Recent Trends in the Japanese Economy: Stock Replacement and New Demand as Aspects of Economic
Recovery, August 1997

No. 70 Corporate Fundraising : An International Comparison, June 1997
No. 69 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1996 and 1997
Conducted in February 1997, May 1997
No. 68 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1996 and 1997
Conducted in August 1996, August 1997
No. 67 An International Comparison of Corporate Investment Behavior: Empirical Analysis Using Firm Date fromJapan, France and the US, April 1997
No. 66 Housing in the National Capital: Analysis of the Market for Housing using Micro Data, March 1997
No. 65 The Environment for Locating Business Operations in Major East Asian Cities, January 1997
No. 64 Direction of Reconstruction of Business Strategy in the Chemical Industry, January 1997
No. 63 Reflection on Discussions Concerning Regulation of the Electric Power Industry: Deregulation of theElectric Power Industry in Japan and Implication of Experiences in the United States, December 1996
No. 62 Current Status and Future Perspective of the Japanese Semiconductor Industry, November 1996
No. 61 A Breakthrough for the Japanese Software Industry?: Responsiveness to Users’ Needs is the key, October
1996
No. 60 Recent Trends in the Japanese Economy Focusing on the Characteristics and Sustainability of the Current
Economic Recovery, September 1996
No. 59 Analysis of the Primary Causes and Economic Effects of Information: Related investment in the UnitedStates and Trends in Japan, August 1996
No. 58 Selected Summaries of Research Reports: Published in FY 1995, June 1996
No. 57 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1995 and 1996
Conducted in February 1996, May 1996
No. 56 Recent Trends in the Japanese Economy, May 1996
No. 55 Issues Concerning the Competitiveness of the Japanese Steel Industry, February 1996
No. 54 Changes in the Financial Environment and the Real Economy, January 1996
No. 53 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1994, 1995 and 1996
Conducted in August 1995, October 1995
No. 52 Current Economic Trends: Focusing on the Appreciation of the Yen and its Effects, October 1995
No. 51 Problems Concerning the International Competitiveness of the Petrochemical Industry, October 1995
No. 50 An Economic Approach to International Competitiveness, October 1995
No. 49 Selected Summaries of Research Reports Published in FY 1994, July 1995
No. 48 Strategies for Improving the Efficiency of the Japanese Physical Distribution System: Part2, July 1995
No. 47 Issues on International Competitive Strength of the Auto Industry, June 1995

No. 46 Problems Concerning the International Competitiveness of the Electronics and Electric Machinery Industry,
June 1995
No. 45 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1994 and 1995
Conducted in March 1995, June 1995
No. 44 Strategies for Improving the Efficiency of the Japanese Physical Distribution System, March 1995
No. 43 Capital Spending Recovery Scenario Cycle and Structure, August 1994
No. 42 Progress of International Joint Development between Industrialized Countries on the Private Level, May
1994
No. 41 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1993, 1994 and 1995
Conducted in August 1994 , November 1994
No. 40 Selected Summaries of Research Reports Published in FY 1993, June 1994
No. 39 Recent Trends in Japan’s Foreign Accounts, April 1994
No. 38 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1993 and 1994
Conducted in March 1994, April 1994
No. 37 Economic Zones and East Asia Prospect for Economic Activity Oriented Market Integration, December
1993
No. 36 Japanese Corporate Responses to Global Environmental Issues, December 1993
No. 35 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1992, 1993 and 1994
Conducted in August 1993, September 1993
No. 34 Structure of Profit to Capital in the Manufacturing Industry, September 1993
No. 33 Comparison of the Japanese and The U.S. Labor Markets, October 1992
No. 32 The Relative Competitiveness of U.S., German, and Japanese Manufacturing, March 1993
No. 31 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1992 and 1993
Conducted in March 1993, April 1993
No. 30 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1991, 1992 and 1993
Conducted in August 1992, December 1992
No. 29 Flow of Funds in the 80s and Future Corporate Finance in Japan, November 1992
No. 28 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1991 and 1992
Conducted in February 1992, April 1992
No. 27 An Analysis of Foreign Direct Investment in Japan, March 1992
No. 26 Projection of Japan's Trade Surplus in 1995: Analysis of Japan's Trade Structure in the 80s, February 1992
No. 25 Intra-Industry Trade and Dynamic Development of The World Economy, November 1991
No. 24 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1990, 1991 and 1992
Conducted in August 1991, September 1991
No. 23 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1990 and 1991
Conducted in February 1991, March 1991
No. 22 Trends of the Petrochemical Industry and its Marketplace in East Asia, March 1991
No. 21 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1989, 1990 and 1991
Conducted in August1990,September 1990
No. 20 Deepening Economic Linkages in The Pacific Basin Region: Trade, Foreign Direct Investment andTechnology, September 1990
No. 19 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1989 and 1990
Conducted in February 1990, March 1990

No. 18 Petrochemicals In Japan, The US, and Korea an Assessment of Economic Efficiency, February 1990
No. 17 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1988, 1989 and 1990
Conducted in August 1989, October 1989
No. 16 Impact of the EC Unification on Japan’s Automobile and Electronics Industries, August 1989
No. 15 Industrial and Trade Structures and the International Competitiveness of Asia’s Newly Industrializing
Economies, August 1989
No. 14 The Japan Development Bank Reports on Capital Investment Spending: Survey for Fiscal Years 1988 and1989 Conducted in February 1989, March 1989
No. 13 The Japan Development Bank Reports on Capital Spending: Survey for Fiscal Years 1987, 1988 and 1989
Conducted in August 1988, September 1988
No. 12 Growing Foreign Investors’ Activities and the Future of Internationalization, September 1988
No. 11 Futures Tasks and Prospects for the Japanese Machine-Tool Industry, July 1988
No. 10 International Division of Labor in the Machine Industries Among Japan, Asia’s NICs and ASEANCountries, June 1988
No. 9

Trends of the Petrochemical Industry and its Marketplace in East Asia around Japan, May 1988

No. 8

The International Competitiveness of Japan and U.S. in High Technology Industries, April 1988

No. 7

The Japan Development Bank Reports on Private Fixed Investment in Japan, March 1988

No. 6

Economic Projections of the Japan’s Economy to the Year 2000, February 1988

No. 5

The Japan Development Bank Reports on Private Fixed Investment in Japan, September 1987

No. 4

Current Trends in the Japanese Auto Parts Industry in Overseas Production, July 1987

No. 3

Current Moves for Foreign Direct Investment into Japan, May 1987

No. 2

Overseas Direct Investments by Japanese Corporations, May 1987

No. 1

Current U.S. Consumption Trends, May 1987