The economic policies of Prime Minister Shinzo Abe of Japan advocated, called Abenomics have weakened the yen and brought back to life, Japan’s stock market. There are three components Abenomics: easing of monetary policy, public expenditure and growth strategies. The economy-boosting effects Abenomics and the Bank of Japan (BoJ) in bold monetary easing policy stir up considerable global interest in Japan. Of the three components of the Abenomics, monetary easing and fiscal spending are unlikely … Read more »

The economic policies of Prime Minister Shinzo Abe of Japan advocated, called Abenomics have weakened the yen and brought back to life, Japan’s stock market. There are three components Abenomics: easing of monetary policy, public expenditure and growth strategies. The economy-boosting effects Abenomics and the Bank of Japan (BoJ) in bold monetary easing policy stir up considerable global interest in Japan. Of the three components of the Abenomics easing of monetary policy and fiscal issues are unlikely to cause much pain in public, apart from the fact that younger generations will be forced to repay the debt, the government is quickly accumulating. But the third component, growth strategies can be effective only if it has long been left untouched by the legal issues. What Japan needs most is regulatory and structural reforms. These painful, drastic reforms will shuffle the deck for protected firms. While structural reforms are almost always inflict pain regulatory interests through walls, creative initiatives from newcomers benefit consumers protected and help to revive the economy.
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from
Mitsuru Misawa
Source: University of Hong Kong
22 pages.
Release Date: 8 October 2013. Prod #: HK1017-PDF-ENG
ABENOMICS OF JAPAN: What was it? Could this CONQUER JAPAN decades of deflation? HBR case solution

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