Why is inflation so low in Japan?



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https://www.weforum.org/agenda/2022/10/why-japan-low-inflation/
Why is inflation so low in Japan?

  • Inflation is soaring in countries around the world – but not in Japan.

  • Government price controls, an ageing population and negative interest rates are among the factors keeping down inflation in Japan.

  • Another reason is that Japan reopened its economy more slowly than many countries following the pandemic.

  • Inflation of 3%.

  • It’s something many of us may be dreaming of right now, but it’s a reality for those in Japan

  • Its inflation rate stood at that level in August, putting it far below readings among its fellow G7 members. The United States had inflation of 8.3% in the same month, Canada 7%, France 5.9%, Germany 7.9%, Italy 8.4% and the United Kingdom 9.9%, according to data site Trading Economics

  • So why are things different in Japan?

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  • Inflation is soaring in countries around the world – but not in Japan.

  • Government price controls, an ageing population and negative interest rates are among the factors keeping down inflation in Japan.

  • Another reason is that Japan reopened its economy more slowly than many countries following the pandemic.

Inflation of 3%.
It’s something many of us may be dreaming of right now, but it’s a reality for those in Japan
Its inflation rate stood at that level in August, putting it far below readings among its fellow G7 members. The United States had inflation of 8.3% in the same month, Canada 7%, France 5.9%, Germany 7.9%, Italy 8.4% and the United Kingdom 9.9%, according to data site Trading Economics
So why are things different in Japan?

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