Land of Rising Inflation

By Econ70 | 10/17/2013
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Year-over-year inflation in Japan is now 0.9%. While not much, after decades of deflation, it’s good news. That said, most of the inflation is the result of higher energy and electricity prices, not wages. And higher energy costs are the result of the yen’s recent 25% depreciation against the US dollar, combined with oil being…

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The Zen of Yen

By Econ70 | 02/12/2013
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New Japanese Prime Mister Shinzo Abe has pushed the Yen down 15% against the dollar since 10/12 because of his insistence that the Bank of Japan create inflation by pumping more money into the economy. Moreover, the new Abe appointed Governor of the BoJ will enthusiastically embrace this new policy, unlike the outgoing Governor. Another…

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