To this outsider, at least, Japanese monetary policy seems paralysed, with a paralysis that is largely self-induced. However, the experiments of the Japanese monetary authority and its future guidance don’t seem to be working. The latest data shows that the Japanese economy expanded at an annualized pace of 0.2% in the second quarter. The problem is that if Abenomics fails, it will further feed into expectations and complicate matters for Japan. There is also a need to expand the labour market by attracting more women and foreign workers.

Source: Mint August 17, 2016 18:45 UTC