Japan Fiscal policy implemented/discussed
Fiscal Policy in Japan In 2019 prime minister Shinzo Abe raised the sales tax from 8% - 10% with the hope of achieving growth in the economy. officials were worried that the low demand for international trade would impact the Japanese economy. Many people argued against this decision since a majority of Japan's GDP is from consumer spending as well as the fact that trade had slowed. Officials in the Japanese government have pushed for an increase in fiscal spending in response to the tax hike, hoping that it will help keep the economy from falling. In 2019 the deficit was 2.8% of Japans GDP.