As the second arrow of Abenomics, the Japanese government has already made an important step forward in this respect by raising the consumption tax rate in April this year.
Presumably because of this commitment to fiscal sustainability, survey figures for long-run inflation forecasts in advanced economies have not increased to levels much above targeted inflation rates, although these figures are subject to considerable uncertainty, as I mentioned before. These forecasts for Japan have not yet reached even 2 percent, although they do seem to be on a steady rising trend. IV.