"Our expectations from the dream study are quite high," said an official of the science and technology ministry's brain research promotion programme.
The ministry spent around 3.4 billion yen ($33.5 million) on the dream and other neuroscience studies for the fiscal year that ended on March 31.
"This technology may help disabled people to be able to move artificial limbs with their brain, or it may lead to a remedy for dementia or other brain-related diseases in the future," the official said.
"But we are looking carefully at the ethical aspects of the technology, which may allow a third person to look at somebody else's thoughts in the future," she said.
In 2011, a team of researchers at the University of California, Berkeley, used an MRI system to capture images from the brains of subjects who were awake and later reconstructed them as video clips.
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