CLEAN : Japan economy shrinks during Q4 in body blow for Abenomics

The video discusses the current state of the economy, highlighting that profits and wages are growing well. It addresses structural problems in Asia, particularly in Japan, where decision-making in a democracy can be slow. The potential increase in consumption tax from 8% to 10% is mentioned, with flexibility if economic issues arise. The importance of spending to boost nominal GDP growth is emphasized, noting that market panic can hinder logical decision-making.

What is one of the challenges faced by democracies like Japan in addressing structural economic issues?

• Lack of resources

• Overpopulation

• Rapid decision-making

• Slow decision-making

What is the planned change in Japan's consumption tax in April 2017?

• No change

• Increase from 5% to 8%

• Increase from 8% to 10%

• Decrease from 10% to 8%

What might cause Japan to delay the planned consumption tax increase?

• International pressure

• Public protests

• Economic problems

• Political elections

Why is it important to focus on increasing nominal GDP growth according to the speaker?

• To prevent economic collapse

• To reduce inflation

• To increase exports

• To ensure sustainability

What does the speaker suggest about trying to reason with a panicking market?

• It is effective

• It is unnecessary

• It is futile

• It is always successful