Japanese society's ability and willingness to pay for schooling is the single most important factor that affects the quality and quantity of its education system. Japan is a learning society; education plays an important role in the Japanese self-identity. The excess demand for education that cannot be met by the public sector is readily met by Japan's private sector.
In Japan, children are only required to complete nine years of compulsory education, from age six through age fifteen. Compulsory education in Japan, like in the United States, is free. Public schools are completely funded by the government, mostly the Ministry of Education, Science, and Culture, commonly known as the Ministry of Education.
Funding for compulsory education in Japan differs from the system used in the United States. In America, schools are funded by local taxes. In Japan, the financial responsibility for compulsory schools is shared by the national, prefectural and municipal governments. (Prefectures are about the size of small or medium states.) The various governmental entities that finance education in Japan raise their funds from taxes and other sources.
The national government equalizes the funds that the prefectures and municipalities receive so that gross inequities do not occur. The national subsidies cover a portion of the cost of salaries and allowances for educational personnel at compulsory schools and special schools, teaching equipment, and school construction. Likewise, the prefectures subsidize the municipalities for certain items, such as salaries and allowances of teachers. In addition, the national government also provides subsidies to private education institutions.
Funding decisions in Japan are highly centralized under the general supervision of the Ministry of Education, which oversees the administration of education at the national, prefectural, and municipal levels. The Ministry of Education relies on...