Michael Roberts – Japan: caught between inflation and slump
Buobe IA context · why it matters
Japan's economy facing stagflation — Japan may experience rising inflation without economic growth, affecting fiscal policies.
Government spending vs. budget deficits — Takaichi’s plan to increase social security and defense spending could lead to higher budget deficits.
Fique de olho:
Higher bond yields might destabilize the Japanese yen similar to what happened with the pound under Liz Truss's tenure.
“All roads are now leading to ‘stagflation’, where inflation rises, but economies do not expand. This is the story for Japan, Europe and even the US” Michael Roberts is an Economist in the City of London and a prolific blogger.
