Credit Suisse Says BOJ Cannot Drop Inflation Target

The transcript discusses the challenges faced by central banks, particularly in Japan, in achieving a 2% inflation target. It highlights structural issues such as an aging population, a shift towards a services economy, and intense global competition. The discussion also covers the realism of the inflation target, the impact of monetary policy normalization, and the ongoing economic recovery in Japan. Despite some positive economic indicators, structural changes in labor productivity and consumption remain limited, making sustained inflation difficult to achieve.

What role does global competition play in the pricing strategies of Japanese companies?

In what ways are consumer behaviors in Japan affecting economic recovery?