Ishiba says he will focus on boosting wages, consumption

It’s about time wages went up here. Everything else has gone up.

It’s about time wages went up here. Everything else has gone up.

Even if it goes up, it can't catch up the actual price increase. Japanese companies only give few thousands yen increase.

He said revitalizing consumption was key for Japan to emerge from economic stagnation, adding the new administration must consider the most effective means to cushion the blow to households from rising inflation.

Abenomics and New Capitalism accomplished their goals of inflation and a booming stock market along with declining living standards and stagnant wages for workers.

Neo-feudal Mission Accomplished and expect more of the same from Ishiba.

Incoming PM Ishiba has often been criticized for his inconsistent political stance and lack of clear vision on key issues, which can leave voters feeling uncertain about his leadership. His approach sometimes seems reactive rather than proactive.

Detractors argue that Ishiba’s proposals fail to adequately tackle issues like an aging population and stagnant growth. Additionally, some of his plans have been viewed as overly reliant on traditional methods rather than embracing innovation or sustainability. This reluctance to adapt to changing global economic dynamics raises concerns about Japan's competitiveness in the long term. Overall, critics contend that his economic vision needs greater clarity and ambition to effectively guide the nation toward recovery and growth.

"....Japan is bidding farewell to Abenomics," he said. Ishiba is likely to announce a plan to compile a fresh stimulus package..."

Sounds like "embracing" rather than "bidding farewell." LOL.

 Kishida, who focused on measures to boost wages...

What are those measures exactly? Why do Japanese journalists and politicians always mention this but never tell us what exactly these supposed "measures" are?

Apart from the minimum wage, govts in capitalist countries normally can't "boost wages," That's the job of employers, especially when they are under pressure by labor unions. In Japan's case the only conceivable way for the govt to get employers to pay more is to punish them financially by say, cutting procurement or legislation mandating wage levels, both which would be seen as unacceptable.

@Bobby Franks

From that perspective at least Abenomics is not reactive.

Ishiba says he will focus on boosting wages, consumption

He could also look at the cost of living. In fact, if he had any sense he'd make that a priority.

Same! Same!

The article states that GDP is flat-incorrect!

This is an example of disinformation.

The GDP of Japan is not flat, it is and has been decreasing.

Japan's GDP has been rising since the 1980s, but is there anyone who doesn't even understand what a line graph means?

If the stagnation in average annual income of workers since the 1980s were to change and start to rise due to the inflationary effects of Abenomics and a weak yen, then people's desire to spend will likely increase slightly.

Without an increase in wages, it will be difficult to stimulate the purchasing desire of Japanese people, who already have most things.

It is hard to see a future in which Ishiba will be successful with his economic stimulus measures, but we'll see what happens.

A rather disappointing LDP leadership election result. Unlike Takaichi, Ishiba has always been committed to a tight fiscal policy and is against lowering or abolishing the consumption tax. I’m curious what kind of magic he’s going to use to boost consumption by raising interest rates.

Japan's incoming prime minister Shigeru Ishiba stressed the need for the country's economy to "fully emerge from deflation"

I would say that the inflation we have been experiencing over the past few years shows that we have already fully emerged from deflation. Unfortunately.

The Evolution of LDP Factions

https://www.tokyoreview.net/2022/01/the-evolution-of-ldp-factions/

The ruling LDP government past and present have had every opportunity to reform and restructure Japan economy, monetary fiscal policies, to combat depopulation, healthcare, childcare provision, housing.

??????

"The definition of insanity is doing the same thing over and over again expecting different results"

Incoming prime minister Shigeru Ishiba, "meet the new boss same as the old boss". rinse and repeat,

Food price inflation shout out at you weekly from supermarket shelves

Any of the nine candidates, all career LDP political, many in cabinet, would have offered little change as PM in government.

All nine policy clones. the replicant glib spiel never to materialize into affirmative action.

The real power and influence, in charge of the politically puppetry pulling the stings/levers, in total control, is frightened of change, cowering out of sight.

Incoming prime minister Shigeru Ishiba the next fall guy, is politically the "old face on the block" pretending for the umpteenth time offering a brave new world.

The political "slush funds" the refusal to fully investigate blew the lid off years a the false belief of accountability in office.

The last 15 prime ministers have said exactly the same thing and it has only gotten worse and worse over the last two decades. It’s hard to believe Ishiba will be any different.

A huge slab of realism is warranted.

The Lady of the Lake will emerge lifting the sword Excalibur aloft, before Incoming prime minister Shigeru Ishiba will enact a fundamental policy program of real economic political change.

While I am grateful that Ishiba won and not Takaichi, I agree with many posters that there will probably be little or no changes under Ishiba, as it is the bureaucracy that control what really happens. If he can reform that then there may be a chance, but I doubt that will happen.

Also, none of the 9 even talked about the plight many people are facing with rising prices and no end to these increases like we are seeing with rice!

When will people wake up? Politicians can no more increase wages than they can make it rain. Unless, of course, you live in a state-controlled economy plagues by chronic shortages and hunger.

When people stop believing the in magic and the lies of politicians they might finally get someone in office who will help - by removing the fat government from on top of the economy so it can breath.

The Lady of the Lake will emerge lifting the sword Excalibur aloft, before Incoming prime minister Shigeru Ishiba will enact a fundamental policy program of real economic political change.

Strange women lying in ponds distributing swords is no basis for a system of government. Supreme executive power derives from a mandate from the masses, not from some farcical aquatic ceremony.

Talk, especially with the LDP is unbelievably cheap.

Let's see it Ishiba...........shut it, and DO.

They managed to get a photo with a smile, well sort of smile. It's close enough.

aaronagstring

Yes from a political point of view, so we are led to believe.

""Unless consumption increases, the economy won't do well," he said, promising to accelerate Prime Minister Fumio Kishida's policies aimed at boosting household income through wage hikes.""

First congratulation on the new post and best of luck.

1- We all agree on boosting household incomes, one way of doings fast is to stop dumping CASH on endless wars and aid to nations that are corrupt.

2- Provide Free education to all from the cradle to grad school.

3- Free health care to all.

4- Tax cuts to all parents with children living at home up to 18 years old.

5- Stop useless projects with open funds and focus on what is in the best interest of the nation.

6- Never get involved with any conflicts or wars abroad, Japan has already paid the price and should always stay away from any conflict.

Help the ones starting out in Japan. Like the ALT’s who make often less than minimum wage. That would get you favor with a lot of JT readership. I mean I red some of the job postings on a website. They make Su amazing low wages. Not like 30 years ago when the pay was not only good it was downright great. Could travel save and pay your student loan off. Companies who got involved ruined the deal. Let’s start by foreign wages and see what that does.

hard to push on a rope.

Amazing how my fellow expats are so passionate about this topic which in every democracy is important.

I wish such passion and interest for the future of Japan politic would be the same among the Japanese nationals as they are the only one entitled to vote but are mostly apathetic about it.

Apart from the minimum wage, govts in capitalist countries normally can't "boost wages," That's the job of employers, especially when they are under pressure by labor unions. In Japan's case

I'm not buying it and have heard that pathetic excuse trotted out whenever the issue of stagnant wages is brought up and you get the yearly ritual of the PM 'urging' Keidanren to raise wages.

The LDP holds immense leverage over Japan Inc.

There are all the corporate tax rates cut under Abenomics.

There are all the government contracts and sub-contracts for social care and education services.

There is all the socialism for the rich corporate welfare and subsidies for many industries that are announced every year.

This could all be linked to better wages and withdrawn if that does not occur immediately if there was the political will, but there is none.

Help the ones starting out in Japan. Like the ALT’s who make often less than minimum wage. That would get you favor with a lot of JT readership.

I have a feeling Ishiba is more concerned with Japanese citizens than ALTs or gaining favour with the JT readership.

The likely upcoming general election by the end of the year will see what sort of mandate he is given.

The demise of capitalist countries is because of their own system of central banking. Bill Still explains this very well in his documentary “The Money Masters” in You Tube.

first result big drop of value of usd in single day/yesterday so exporters are not happy abt that,lets see next week if rate will go back

Apparently he is Christian, softly spoken, listens to 1970s pop music and builds model warplanes, trains and ships in his free time.

he loves the LDP so much he left it for another party and came back. The reason why he lost being PM 4 times. the only way to win was to run against a woman. The LDP would elect a toad over a woman

If you boost wages, an increase in consumption will naturally follow.

OTOH, if money, such as stimuli and/or tax cuts, go to the wealthy or corporations, it will stay there.

first result big drop of value of usd in single day/yesterday so exporters are not happy abt that,lets see next week if rate will go back

Yes, it had been looking like Takaichi, who seems to be a big money printing proponent like Abe, was going to win, so there was a big reaction of sorts to the surprise.

Ishiba can’t make the massive debt disappear, but whether he can rein in the deficit much and change the trajectory remains to be seen. As well as other far reaching policies that might help boost domestic investment and growth broadly.

I haven’t heard much to give the impression that he has any fresh economic ideas versus the status quo, but who knows.

i don’t see much parting with Abenomics either. Abenomics had it that inflation would be great for everyone, and rather than saying “let’s go back to genuine price stability of 0% inflation over the medium to long term”, he is talking about more intervention to help cushion the blow of the bad inflation policy. Coping, rather than rejecting.

This could all be linked to better wages and withdrawn if that does not occur immediately if there was the political will, but there is none.

If I saw any such heavy handed central planning enacted I would sell any yen I could muster pronto.

YeahRightToday  07:56 am JST

I would say that the inflation we have been experiencing over the past few years shows that we have already fully emerged from deflation. Unfortunately.

The inflation of the past few years is different as the reason was the failed and useless corona-policies around the world. Free money for doing nothing. Useless lockdowns. Without those idiotic actions there would not have been hyperinflation these past years.

"Unless consumption increases, the economy won't do well," he said, promising to accelerate Prime Minister Fumio Kishida's policies aimed at boosting household income through wage hikes.

PM of a party who oversaw the introduction of a consumption tax is confused about why consumption is down after introducing a tax that literally penalises consumption ? Not the brightest spark ?

Yeah guys I'm an optimist at heart but the merry go round of Japanese politics does my head in.

Another day, another Japanese PM...sigh

One hour of benefits for one hour of work. Make a law that "irregular" workers must receive 1 more worth of benefits for 1 hour of work at the rate at which the salaried staff receive benefits.

Enough of these large corporations employing 2 classes of workers!

The yen bounced on Friday, recovering earlier losses, after Ishiba, a former defense minister seen as a critic of past aggressive monetary stimulus, won the ruling Liberal Democratic Party's leadership contest.

He beat Sanae Takaichi, a vocal proponent of deceased former Prime Minister Shinzo Abe's "Abenomics" stimulus policies, in the final run-off.

Japan sure dodged a bullet by not electing the extreme far right Takaichi, even though Koizumi would have been best of the three final choices. Guess Japan old guard just cant overcome it's allergy to younger generation and their " modern " ideas.

That's kind of like saying you will boost the economy. Is there a plan missing here?

Let's see how long he lasts as PM? The shortest stint for a PM was one month in the last 30 years.

Present Japanese society is in drastic cost-pushing inflation or stagflation clearly, many citizen facing poverty. but, LDP regime insists "deflation".

every party can change nothing present Japanese real economy as long as obedient to large corporations who want more profit with making citizen poor or financial ministry who want more taxes revenue even if victimizing social vulnerable.