The greater tolerance being shown by Japan’s government towards inflation remaining below target simply reflects the fact that the oil price collapse has made hitting the target all but impossible in the near term. However, it does reduce pressure on the Bank of Japan to step up stimulus.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services