About this Site 日本語 What is Money

Top page>Economy>Abenomics


Abenomics with 3 arrows

Bold monetary easing

A fund supply of the money market exceeds demand, and the monetary easing is the situation that financing is easy to make, and "bold monetary easing" is monetary easing by the Bank of Japan, in particular. The Abe Administration aims at 2% of price hike (two years compared with the previous year) in this policy, and Bank of Japan is going to continue monetary easing until they achieve this goal.


Process of the monetary easing

  1. The Bank of Japan performs a buying operation. Value of Japanese yen declines by this (this weakens yen)

  2. Interest rate is cut down, and promotion of investment and consumption comes to be expected.

  3. Weak yen and interest rate cut make it possible to achieve inflation target.

Because it comes to incline to weak yen by the monetary easing, it becomes advantageous to export products from Japan. And companies which mainly export products such as car manufactures can expect good business performances.

Effective fiscal policy

The fiscal policy is the policy of the economic activities that the government performs. Specifically, expansion of public work project, infrastructure maintenance and securing employment to accelerate recovery from the East Japan great earthquake disaster, and activating local area. By government investing in public work project, employment of construction companies increase, and if the profit of the company increase, salary of workers goes up. As a result, expansion of consumption is expected.

<Specific Plans>

  1. Promotion of investment
    Already having achieved the goal of 20 million foreigner tourist to Japan by 2020. Raising FTA rate to 70% from current 40% by 2018 to facilitate international trading further.

  2. Ties with the world
    Already having achieved the goal of 20 million foreigner tourist to Japan by 2020. Raising FTA rate to 70% from current 40% by 2018 to facilitate international trading further.

  3. Reinforcing activity of human resources
    Providing environment for women to play active role, for the youth to study abroad and for excellent foreigners to work in Japan.

  4. 世界とのつながり
  5. Creating new markets
    Preparing environment to purchase pharmaceutical products on the Internet. Promoting Large-scale agriculture.


New Three Arrow Policy

New three arrow policy is the policy Prime Minister Abe announced in September, 2015 in addition to the old three arrows policy.

Strong economy to generate hopes

"The strong economy to generate hopes" is a policy to increase the nominal GDP by 20% from 490 trillion yen in 2014, and to approximately 600 trillion yen. And Abe announced his policy to push forward productivity revolution boldly by full scale employment expansion for women, elderly people and disabled people and vitalizing local areas.


Child Care Support to Foster Dreams

The Japanese government set a goal to revive birth rate from current 1.4 to 1.8 now. In order to reduce financial burden with child care, the government plans to support by free preschool education, marriage support and infertility treatment support. The government also set a goal to zero with losing job due to taking care of family. In addition, the government plans to increase job opportunity for elderly people who are willing to work. The government Wants to promote these plans, as “100 million Japan total activity plan”, aiming at maintaining national population of 100 million 50 years later.


Social security to lead to relief

In this policy, I put up a sign to zero "the care quitting a job" that I come to cannot but resign from by the reason of the care of the family. In addition, I show the thought to increase the job opportunity of the elderly person with the will to act and do these when a report "wants to make the intention as the nation which maintains a population of 100 million 50 years later clear" as "100 million Japan total activity plans" for 2020.


to top of this pageTop pageAbout this Site