Takenaka calls for money supply increase

Economic and fiscal policy minister Heizo Takenaka said the Bank of Japan and the government should work together to increase money supply growth to end more than six years of deflation.

``It's necessary to increase money supply to end deflation,'' Takenaka told reporters in Tokyo. ``If you consider the potential rates of growth in real terms and future gains in prices,'' money supply should expand faster, Takenaka said in response to a question. Money supply levels are ``up to the BOJ to deci