Political Shifts and Economic Impacts in Japan

This chapter explores the political dynamics following a coalition of smaller parties and the rise of the Constitutional Democratic Party as a challenger to the LDP's dominance. It examines the implications of recent parliamentary election results on Japan's economy, monetary policy, and the currency market, as well as the potential shifts in inflation and interest rates amidst a changing political landscape. Additionally, the chapter highlights the outlook for long-term investments in response to domestic demand growth and evolving economic indicators.