Posen: Helicopter Money Never Going to Take Off in Tokyo

The video discusses the impact of yen fluctuations on Japanese exporters and the Bank of Japan's (BOJ) policy review. It highlights the need for fiscal-monetary coordination and the challenges of achieving inflation targets. The BOJ's options, including currency weakening and wage increases, are explored as strategies to address inflation and economic pressures.

What was the general sentiment about the recent meeting in Tokyo?

• It was a surprise success.

• It was expected to bring significant changes.

• It was considered overrated.

• It was not discussed at all.

Why is the Bank of Japan hesitant to act directly on the yen?

• Due to the G7 commitment.

• Because of public opposition.

• Because of high inflation.

• Due to lack of resources.

What is one reason Governor Carota called for a policy review?

• To reduce government spending.

• To address unexpected inflation trends.

• To increase interest rates.

• To implement new taxes.

What is the relationship between fiscal and monetary policy in Japan?

• They are completely independent.

• They are irrelevant.

• They are in conflict.

• They are coordinated.

What is one potential measure the Bank of Japan might consider?

• Reducing interest rates.

• Buying perpetual bonds.

• Raising taxes.

• Increasing exports.

Against which currency is the yen particularly strong?

• RMB

• Rupee

• Euro

• Pound

What is a suggested strategy to achieve the inflation target in Japan?

• Increasing exports.

• Raising wages.

• Lowering taxes.

• Reducing imports.