Deposit insurance has provided a safe and secure place for those households and small businesses with relatively modest amounts of financial assets to hold their transaction and other balances. These benefits of deposit insurance, as significant as they are, have not come without cost.
Given that there is an increasing sense of labor shortage caused by the population decline, now is an ideal time to take a step forward in labor market reform. I will next focus on three possible reform measures. First, a more flexible adjustment mechanism should be implemented in Japan's labor market. Let me elaborate on this point.