2  Yutaka Yamaguchi, “Asset Prices and Monetary Policy: Japan's Experience,” New Challenges for Monetary Policy, Federal Reserve Bank of Kansas City, 1999. BIS Review 58/2002  1  prospective shift to a more moderate growth was already broadly envisioned in the early 1980s.
That suggests that a shortage of aggregate demand is not the cause of the slowdown in growth in 2016/17. Page 5 of 9  A sustained deficiency of aggregate demand would also lead to disinflation (i.e. falling inflation). But there is no evidence of this occurring.