"Fresh from an election victory, Japanâ??s next prime minister, Shinzo Abe, pressed ahead with his top priority of reviving the sickly economy, vowing a hefty spending package and increasing the pressure on the central bank for quick action to pull the country out of recession and deflation. â?¦
Mr. Abe, who said he would form a cabinet on Dec. 26, vowed a â??large-scaleâ?? budget for government spending to help boost an economy heading toward a third straight quarter of contraction and to end decades of deflation. The budget will take into account the gap between oversupply and weak demand in the economy. â?¦
Mr. Abe vows to force an â??accordâ?? on the BOJ to replace its looser goal of 1% inflation with a binding 2% target and to undertake â??unlimitedâ?? monetary easing to achieve it. He has suggested radical measures for the bank, such as gobbling up government bonds to push more money into the economy and buying foreign bonds to weaken the yen. He has threatened to revise the law granting the central bank its independence if it refuses to cooperate."
And I outta know…