Unfocused Argument on Economy

On the day of official announcement of the election of House of Councillors, party leaders embarked on campaign trails to sell their policies. While Prime Minister Shinzo Abe still insisted on his economic policy called Abenomics, the opposite party leaders were enthusiastic in blaming the consequence of Abenomics and appealing their alternative ways. Is it possible, anyway, for Japanese politics to present a viable prescription for ailing Japanese economy?

Abe chose Kumamoto City, where the people were suffering from consecutive earthquakes and endlessly long evacuation, for the place of his first campaign speech. “This is the election to choose whether we strongly promote our economic policy or abandon it only to go back to that era of dark and slow progress,” told Abe, in addition to his determination for stable reconstruction of Kumamoto.

Abe has been appealing that his Abenomics was successful in getting rid of deflation and yielded some achievements in employment or workers’ wage. But, being unfortunate for him, relatively moderate environment of Japanese economy is basically dependent on trends in international economy, which showed some preferable elements for Japanese stock market or foreign exchange. Indexes for individual consumption or asset investment has not shown optimistic future of Japanese economy.

The opposite parties conclude that Abenomics is failed. President of Democratic Party, Katsuya Okada, insisted on his policies to stop reckless drive of Abe administration. “True economic policy needs to balance distribution and growth,” told Okada in his kickoff speech in Kofu, Yamanashi. He was highly skeptical against trickle-down theory of Abenomics and upheld further support for single mothers or subsidized scholarship. Other opposite parties also appealed policies for narrowing economic gap between the rich and poor.

But, DP was not successful in laying effective policy for distribution of wealth in their administration between 2009 and 2012. They are still weak in presenting actual measures. Abe keeps on blaming former DP administration as failed without any reliable timeline for economic growth. Both parties has not removed curse of the past.

Answer has been clear. Japanese economy has to get rid of uncertainty stemming from hugely accumulated fiscal debt. As long as wealth is not properly distributed to individuals, fundamental improvement of Japanese economy will not arrive. It is not prolonged blaming game but clear strategy for the future what the people want to see.