Gov't submits ¥13.9 tril draft extra budget to Diet for economic package

 13.9 trillion yen to finance a new economic package aimed at easing inflation-driven financial pressures on households.

Japanese way in fighting inflation, let's fight inflation by pouring more money into Japanese economy.

If issuing more debt could make people feel "safe and secure", the Japanese would already be the most safe and secure people on earth.

To sakurasuki - the package is not aimed at fighting inflation per se, but rather the financial pressures inflation causes

Just cut taxes. And cut the handouts to the US military. Cut arms spending and cut the number of do-less government workers.

If issuing more debt could make people feel "safe and secure", the Japanese would already be the most safe and secure people on earth

They already are. Thus, I'm not sure what your point is.

Let's remember that if Japanese employers raised wages in line with their extraordinarly profit growth, none of this spending would be necessary.

Heeeeeeeeelp.

So printing money is the future ?

Let’s print more money !

Just tell the people we are taking care of them.

Don’t tell them the yen will continue droppîng in the medium ir long term as a consequence but lie about fighting inflation to make them happy.

I could ve a very good Japanese politician I believe.

@BertieWooster Then China and NK will become even bolder and then you will be crying wolf!!

Just cut taxes. And cut the handouts to the US military. Cut arms spending and cut the number of do-less government workers.

sakurasukiToday  05:40 pm JST

 13.9 trillion yen to finance a new economic package aimed at easing inflation-driven financial pressures on households.

Japanese way in fighting inflation, let's fight inflation by pouring more money into Japanese economy.

There is some banking economic logic behind this. It's actually based on Quantity Theory of Disaggregated Credit by Richard Werner, ans Schumpters ideas of credit. Their ideas seem to be ok, and logical and have been used since the financial crash in Europe the U.S. etc.

But I suppose if you wanted to build a new maglev railway, you could literally create money out of thin air, build, and then delete an asset. Then, claw back all the debt over time or inflate it away, which seems to be the current policy in most countries. The story of debt must not be passed on to the next generation is pure fantasy. They've been doing it for decades and decades if not centuries.

I think that there are two things dooming this kind of government-sponsored economic recovery: longevity and declining birthrate. There are simply more people benefiting from too few workers. There is probably no way out but to increase immigration. Which, is happening in a fairly random way. The government could plan to onboard young overseas workers in a smoother and more rational way that preserves Japanese culture and dignity, while opening up to international norms when it comes to education and employment policies.

I think that there are two things dooming this kind of government-sponsored economic recovery: longevity and declining birthrate

Which is why they need to cut the unnecessary expenses for the US military orders: billions of dollars of weapons every year given to Washington who is trying to incite a campaign in the continent against China. Japan should seek dialogue and diplomacy with Beijing for the natural purpose of peace and economic stability. What Washington defines deterrence is not needed in Asia, we have seen enough conflicts in Eastern Europe and Middle East.

plans to allocate 3.4 trillion yen for inflation relief 

How ironic: after decades of trying to create the conditions for inflation in the economy.

ifd66:

How ironic: after decades of trying to create the conditions for inflation in the economy.

It’s not really ironic when you look at the details. Japan has been aiming for demand-pull inflation by supporting wage growth, which stimulates the economy in a virtuous cycle—this is the focus of its policy. What Japan is currently battling, however, is cost-push inflation, driven by factors like the war in Ukraine and U.S. monetary policy. To address this, the government is providing temporary relief for those struggling to pay energy bills.

FosDec. 9 10:17 pm JST

I think that there are two things dooming this kind of government-sponsored economic recovery: longevity and declining birthrate

Which is why they need to cut the unnecessary expenses for the US military orders: billions of dollars of weapons every year given to Washington who is trying to incite a campaign in the continent against China. Japan should seek dialogue and diplomacy with Beijing for the natural purpose of peace and economic stability. What Washington defines deterrence is not needed in Asia, we have seen enough conflicts in Eastern Europe and Middle East.

Japan doesn't even spend 2% of gdp on high quality weapons from the US or elsewhere. And the Chinese bullying of Taiwan and the Philippines is real.

Japanese way in fighting inflation, let's fight inflation by pouring more money into Japanese economy.

It doesn’t matter the circumstance, that’s what they do every single year, without stopping to think whether their policies are actually what is needed.

They should take a look at Argentina now - one of the best performing stock markets and inflation down big time there - and they didn’t go spending money they don’t have to achieve it.

So printing money is the future ?

It is when your private-sector employers are stingiest in the world and are intent on keeping the nation's workforce in a state of near poverty.

Anyway, the central bank is able to soak up most of the debt, while the other biggest holders are in the public sector anyway. The supposed danger of deficit financing is sky high interest rates and inflation. Japan's got the lowest of those among major economies, so it would be irresponsible to allow the economy to suffer from the sake of....I don't know...whatever abstract notion happens to be in vogue these days.