Chapter I. INTRODUCTION

The topic of research and the basic contents of each chapter are written. The topic is as the title shows, to formulate an investment criterion. The basic purpose is to formulate a practical criterion and not to formulate an abstract one. The research is focused on the Indian economy, and so the investment criterion was formulated with regard to the Indian economy. The criterion was named ''The Possibility Index."

Chapter II. THEORETICAL FRAMEWORK

Theoretical framework of the research is written.
In section I, some theories on investment decision are surveyed. They are surveyed, especially, with regard to the factors taken into account and the determinant factor of investment. Theories surveyed are the Capital-Turnover Criterion, the Social Marginal Productivity Criterion, the Reinvestment Criterion, the Time Series Criterion, the Ratio of Labor to Investment Criterion, the Balanced and the Unbalanced Growth, the Cost-Benefit Analysis, the theories on External Economies and Economies of Scale, the Marginal Efficiency of Capital, the Acceleration Principle, the Neoclassical Theory, and the Tobin's q Theory.
In section 2, the Possibility Index, which is the topic of research, is described. It is a criterion aiming to raise the efficiency of economy by investing the limited resources into the sector of which the possibility of growth is high as compared with the other sectors. The possibility of growth is shown as the ratio between the desired production capacity and the actual production capacity. The latter capacity is available from the existing statistics but the former capacity must be calculated. The way to calculate the desired capacity is not specified here. It is specified after analyzing all the data available on the Indian economy.
In section 3, the method of analysis on the Indian and the Japanese economy is explained. This analysis is to see how the data available can reflect the possibility of growth. Two economies are compared in order to see the situation of investment of both economies.

Chapter III. MANUFACTURING INDUSTRIES IN INDIA

Selected 9 sectors of Indian manufacturing industry are analyzed. Especially, they are analyzed with regard to the output, production capacity, capacity utilization, estimated demand, exports and imports, availability of raw materials, demand for and supply of products, profitability, etc.

Chapter IV. MANUFACTURING INDUSTRIES IN JAPAN

Selected 6 sectors of Japanese manufacturing industries are analyzed. They are analyzed in the same way as the Indian industries as far as possible.

Chapter V. FIELD WORK AT A CEMENT FACTORY

The results of field work conducted at a cement factory are shown. This field work was to see the differences between the literature the author had cited and the reality in the industry surveyed. And, the author's impression on the Indian economy is noted.

Chapter VI. SUMMARY AND CONCLUSIONS OF THE SURVEY

The results of survey on the Indian and the Japanese manufacturing industries are summarized in order to help the readers easily understand the research. And, the problems of Indian manufacturing industries which were made clear from the comparison of both countries are written as the conclusion of survey.

Chapter VII. FORMULATION OF THE INVESTMENT CRITERION

The way to calculate the Possibility Index is formulated.
In section 1, the way to calculate the desired capacity is specified.
In section 2, the desired capacity, which is necessary to calculate the Possibility Index, is calculated for 9 sectors selected.
In section 3, the Possibility Index is calculated and the result is examined.
In section 4, necessary data to calculate more accurately the Possibility Index are specified while so far the Possibility Index was calculated from the existing data. These data may be existing or may not be existing but are technically possible. And the way to calculate the Possibility Index from these specified data are specified.
As written above, the Possibility Index is calculated as follows.

       DCAP
PI = ------- X 100,
       CAP

PI: Possibility Index
DCAP: desired production capacity
CAP: actual production capacity.
The Possibility Index of 9 sectors are as follows.

Nine sectors are
1 Diesel Engine Industry,
2 Radio Receiver Industry,
3 Cement Industry,
4 Soda Ash Industry,
5 Power Transformer Industry,
6 Electric Motor Industry,
7 Ceramic Insulator Industry (low tension),
8 Lead Industry,
9 Soap Industry.

Chapter VIII. SUMMARY AND CONCLUSIONS

Summary of the research is written and the conclusion is drawn. The merit of the Possibility Index against the other investment theories and criteria are examined. And, the reliability and the future perspective of the Possibility Index are examined.

APPENDIX

In section 1, sources of data of figures and notes for figures are collected.
In section 2, figures are collected.
In section 3, tables are collected.