In general, though, the effects of a weaker yen on Japan's economy are determined by the interaction of a range of factors, and thus they can change depending on developments in economic activity and prices at home and abroad at the time.
6 / 11  BIS central bankers' speeches  As Secretary to the Treasury John Fraser reminded us in a recent speech, the task is made more difficult by slow growth in nominal income.1 But it is important that we ensure our public finances are on a sustainable track. This requires a better balance to be established, over time, between recurrent spending and revenue.