BoJ’s Nakamura declares ordinary policy tools redundant
Seiji Nakamura, a member of the policy board at the Bank of Japan, has declared Japan's monetary transmission mechanism broken.
In a speech to Japanese business leaders on 4 February, the representative from Okinawa explained that despite an interest rate set at 0.1% and ample liquidity, lending did not rise sufficiently to impact the country's chronic deflation.
"The ordinary operation of the transmission mechanism of monetary easing has not been working" said Nakamura. "I believe that Japan
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