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In Japan very little empirical security research has been conducted using economic theory. This is because the utility maximization and profit maximization on which economic theory is based are considered to be difficult to apply to security research. The authors have created a model for utilizing economic theory, which so far has been difficult to apply to the economic analysis of security, which they call the MAI-I model. This model has the following features.First, when performing analysis using utility functions, it uses government utility functions and assumes the use of cardinal utility which can accurately measure utility levels. The utility function in this paper, therefore, makes it possible to accurately measure the utility level of past Cabinets with respect to defense.Second, in order to accurately measure utility the precision of utility functions must be increased. In economic theory, for the purpose of greater measurement convenience, utility functions are assumed to be 1st-order homogenous functions. This paper does not make that assumption. Instead, it assumes the function is a μ-order homogenous function and creates a model for use in cardinal utility measurement. The utility function includes μ in its power, but measurement was made possible by using it as an MAI-I model. This produced the following results.First, it was possible to measure the μ value of the μ-order homogenous function, necessary to measure the utility level of the Japanese government with regard to defense. It was found that the function was a 1.1079-order homogenous function. This indicated that the Japanese government has, for a long time, implemented security policy with a defense expenditure budget of less than 1% of the GDP, and restrained their utility even though it will largely grow if they will increase defense equipments and personnels.Second, this utility function could then be used to calculate the government's cardinal utility. This cardinal utility was said to be impossible to measure accurately, but assuming the function is a μ-order homogenous function, it was possible to utilize Japanese defense data to perform measurement. In other words, for the Cabinets which actually focused on security policy, the policies were reflected in actual utility level measurements, indicating that the MAI-I model created in this paper can be used for economic analysis of security. The ability to use the utility functions of this paper to accurately measure utility levels of past Cabinets with regard to defense is a successful quantification of Japan's defense history.Last, the paper indicated future potential for use of the model in analyzing utility from a variety of perspectives.

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A book entitled "University Students who Cannot Calculate Fractions" published at the end of 1990s in Japan (edited by Okabe k. et. al, 1999) aimed to disclose the mathematical level of Japanese University Students by testing them with primary and secondary school level math quizzes. The 20% of them could not even solve fraction questions that children learn at primary school. This fact is indeed problematic for them to study Economics in higher education. Our study thus investigated how Japanese mathematics education has improved after 20 years of this book publication by testing university students with the same math questions used in the previous survey. The results were indifferent from the previous ones proving that the mathematics education in Japan was not innovated in these 20 years. Our paper explored what kinds of mathematical knowledge would disturb the current Japanese university students for understanding fundamental subjects such as Macro and Micro Economics. The results clarified the mathematical components they felt difficulty for understanding as well as their feelings of dislike for math. They are in the category of basic mathematical knowledge used in Economics, meaning that the education of this field is not sufficient and adequate for Japanese university students. This category is characteristic for Japanese university`s curriculum, called Economic Mathematics. Our paper pointed out that the education of mathematical knowledge for understanding Economics including curriculums must be drastically developed. By doing so, students who do not even understand primary level fractions should be able to adequately understand Economics in higher education. As a result, our original textbook based upon the research outcomes will be created.

First, we identified the issues facing Japan's forestry industry by analyzing statistical data. Japan's forestry industry was in crisis. Despite the large increase in capital stock in forestry over the past 40 years, the production value had declined substantially, which deviated from economic common sense. Next, we used the total factor productivity measurement theory developed by the authors to measure the impact of technical progress on changes in the production value of Japan's forestry products. The results revealed virtually no evidence that technical progress contributed to any increase in production. In addition, to investigate the causes for the decline in the production value, we measured the cardinal utility of domestic forestry by combining the theory developed by the authors with the system-wide approach of the economist H. Theil. This demonstrated that domestic wood (timber) had a poor reputation. This persistently poor reputation was considered to be the reason for the continuing low incentives for increasing production. Finally, we used economic theory to find a unique method to explain ways to increase forestry production in Japan by improving the reputation of domestic wood.