Part1 Transportation Policy Based on a New Viewpoint

Chapter 1 Toward Developing New Transportation Policies

　 　 In view of great environmental changes affecting the transportation administration and moves for the reorganization of such administration, this chapter discusses efforts to develop new transportation policies for the future.

Section 1 Environmental Changes Affecting Transportation

1. Japan's Maturing Economy and Social Changes

　 　Japan's economy in recent years has been in a prolonged recession following the bursting of the economic bubble. In order to put this economy back on track to strong recovery and bring about both a revitalized economy and society in approach to the 2lst century, the government must actively promote economic structural reform including paving the way for the private sector to make maximum use of its resources.
　 　 Japan's social changes include a greater emphasis on affluence and comforts, which has emerged as the people have diversified their values and awareness. Also among the changes is the people's growing awareness of a shift to the most aged society in the world and of the importance of barrier-free transportation services. Another change is the increased frequency of moves to revitalize regional communities through expansion of their exchange.

2. Globalization and Development of Information

　 　 The age of global megacompetition has come with the development of transportation technologies and the advancement of information and communications. On the other hand, we see the global warming issue and other problems that must be addressed on a global scale.

3. Environmental Changes Affecting Demand/Supply Adjustment Regulations

　 　 In an environmental change affecting transportation, the effectiveness of demand/ supply adjustment regulations has declined on the matured market and the growing diffusion of private cars. In the circumstances, arguments have emerged for taking advantage of market forces to improve business efficiency and vitality as well as people' s convenience.

4. Transportation Administration amid Moves to Reform Central Government Agencies

　 　 The final report of the Administrative Reform Council in December 1997 recommend-ed that the Ministry of National Land and Transport be created to take charge of transportation administration as well as national land development. The Basic Law on the Administrative Reform of the Central Government, as enacted in June 1998, provides that the Ministry of National Land and Transport will undertake the comprehensive, systematic development and utilization of national land, the reasonable development of social capital to this extent, the promotion of transportation policies, etc. The target date for launching the central government reorganization is January 1, 2001.