Japan Will Eventually Reach 2% Inflation, Economist Okubo Says

The video discusses Japan's economic challenges, focusing on inflation, structural reforms, and monetary policy. It highlights the slow inflation growth despite aggressive monetary easing by the BOJ and the need for structural reforms to boost competitiveness. The BOJ's focus on the yield curve as an exit strategy from quantitative easing is examined, along with Japan's trade balance and competitiveness in manufacturing.

What is the current growth rate of Japanese inflation when energy prices are excluded?

• 0.4%

• 1.0%

• 2.0%

• 3.5%

What is a key factor that could lead to 2% inflation in Japan?

• Increased energy prices

• Rising unemployment

• Decreased exports

• Wage pressure

What is a necessary component for Japan to overcome its long-term deflation?

• Lower interest rates

• Higher energy prices

• Structural reform

• Increased exports

What strategy is the Bank of Japan focusing on instead of the amount of bonds purchased?

• Interest rate cuts

• Quantitative easing

• Currency devaluation

• Yield curve control

What is a potential risk of focusing on the yield curve as a monetary policy strategy?

• Increased unemployment

• Decreased foreign investment

• Difficulty in gradually increasing yields

• Rapid inflation increase

Which industry is mentioned as one of the remaining competitive sectors in Japan?

• Agriculture

• Automobile

• Electronics

• Textile

What area is suggested for Japan to focus on for future growth?

• Manufacturing

• Agriculture

• Services

• Mining