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The Intelligence: The power of positive tinkering

The Intelligence from The Economist

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Japan's Monetary Policy Shift

This chapter examines the Bank of Japan's recent decision to raise interest rates after years of negative rates aimed at combating deflation. It reviews the historical context of Japan's economic policies and highlights the innovative measures taken by the bank, including quantitative easing. Furthermore, the chapter discusses how external factors have influenced inflation expectations and the challenges of sustaining economic growth amidst ongoing risks.

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