Of course, I do not have the answer to the tough question I raised shortly before. Nevertheless, concerning Japan’s experience, I do not think that either way of thinking is appropriate: to fear a specter, nor to take Japan’s experience just as unique. The United States and European countries obviously have an advantage of learning from Japan’s experience. 1 Japan was a lonely forerunner.
A 10 cent represents 10% of the one dollar, 20 cents 20% of one dollar, and a 50 cent represents 50% of one dollar. In other words prices can fall as proportion of one dollar and we required coins to set the level of prices and receive correct change when we buy goods and services. My message to all of you therefore is simple.