We also assumed that, as a result, if actual prices start to increase, that would affect inflation expectations in a backward-looking manner as well. And with an increase in the number of people who believe in the Bank’s commitment, the forwardlooking influence would also be strengthened. Let me be more specific about the transmission mechanism of the QQE.
Three transmission channels are assumed: containing interest rates and risk premiums through massive asset purchases, portfolio rebalancing, and raising inflation expectations. What I would like to focus on in particular is the channel starting from a rise in inflation expectations.