Both the goal of financial stability and the instruments are much less clearly defined at present. While central bank independence in terms of monetary policy was all the rage in the first part of the 1990s, a similar focus in terms of financial stability today is warranted. Endnotes [*]  Thanks to Stan Fischer for his education, example, guidance and support over many years.
Given the expectation of lifetime employment and seniority-based wages, it is likely that many Japanese firms have perceived raising wage levels as a management risk in terms of business continuity, and have thus put priority on suppressing wage levels.