Toshihiko Fukui: The Japanese and world economies – looking to the future Summary of a speech by Mr Toshihiko Fukui, Governor of the Bank of Japan, at the Kisaragi-kai Meeting, Tokyo, 22 February 2008.
One reason for the absence of a significant pickup in home purchases has been the substantial tightening of underwriting standards for mortgages. In addition, households’ concerns about their future prospects for employment and income have likely deterred many potential homebuyers from committing to mortgage payments that might be difficult to make if they lose their jobs.