However, in a monetary union, monetary policy can only be geared to the situation in the euro area as a whole and not to individual regions or economic sectors. When it joins EMU, a country has to be aware of this fact and to accept this rule.
Figures for "effects of the consumption tax hikes and free education policies" from April 2020 onward are based on staff estimations and include the effects of measures such as free higher education introduced in April 2020. Sources: Cabinet Office; Ministry of Economy, Trade and Industry; Ministry of Internal Affairs and Communications; Bank of Japan. I.