If the consequences of an unsustainable national economic policy can be shifted onto others – for example, through bail-outs or via the conduit of a common central bank balance sheet – the incentives for prudent policymaking will be stunted. Still, hopes were high that with sufficient safeguards in place, an asymmetrically integrated euro area could prove stable as well.
Against this background, Japan is making progress steadily in its structural reforms, aiming at reaching the final goal that it will become a home of high value added, a hub for gathering, creating and transmitting information that will contribute to further development of Asia as a whole. Here, let me discuss again the central bank job.