UPDATE 1-Japan's consumption has not slowed as much as feared - Abe

Comments (1)
AtlasMirror wrote:

Following a period of exuberance around Abenomics, Japanese Prime Minister Shinzo Abe’s three-pronged economic revival program is now generating a sense of unease among investors.

Abe initiated his “three arrows” strategy – based on a loose monetary stance, expansive fiscal policy and structural reforms – in December 2012, following his election as prime minister.

One-and-a-half years on, the way Abenomics has progressed can best be described as “eating dessert before the main course,” says Freya Beamish, economist at Lombard Street Research.

“Attacking the deflationary expectations through monetary policy was the easy part (the dessert). Now you are left with a plate of spinach that nobody really wants to eat,” she said, referring to the more difficult structural reforms and bringing the budget deficit under control.

May 02, 2014 1:40pm EDT  --  Report as abuse
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.