Japanese Abenomics Essay Example | Topics and Well Written Essays - 1000 words

Japanese Abenomics - Essay Example This paper illustrates that the Abenomics refers to an economic recovery strategy developed by Abe after taking office in 2012. The strategy focuses on a more relaxed fiscal policy for Japan and an increased depreciation of the exchange rate of the Japanese Yen. We hope to see growth in Japan’s economy based on the three arrows of the Abenomics policy. In the first arrow, people expect the nation to reach the goal of 2 percent inflation rate with two years and an unlimited easing policy. The first arrow of the policy also aims and solving the Yen’s rate of appreciation and amend the nation’s banking laws to integrate and collaborate with the government. However, based on the second arrow of the Abenomics, we hope to see an increase in the public investment and buying processes of construction bonds by Japan’s central bank. The Abenomics registered early positive signs. If Abe and his supporters succeed with the new policy, Japan could offer investment oppo rtunities for the near future for the Japanese people and foreign investors. In addition to the initial success of the Abenomics, other factors particularly the structural reforms can propel economic recovery of Japan and investment interests in Japan. Structural reforms are expected from the Abenomics. The various structural reforms represent the third arrow of the Abenomics. Successful implementation of the third arrow of the Abenomics may result in increased female participation in Japan’s labor market and consolidation of Japan’s farmland. From the growth strategy proposed by Abe’s economic policy, a more cosmopolitan workforce is expected. If the Abenomics succeed in implementing its policies, we expect a change in the longevity and health of the society.