✉news BusinessEconomy first seen 15 h ago, last 6 h ago, peak #6
Japan's low-leverage economy seen withstanding rate hikes
Original: Japan’s low-leverage economy should withstand rate hikes
Economists at Oxford Economics argue that Japan's households and companies carry relatively low levels of debt, meaning the economy should be able to absorb further interest rate increases by the Bank of Japan without major damage. The analysis suggests rate normalization poses less risk to Japan than to more heavily indebted economies.
Why now: The Bank of Japan is normalizing monetary policy, raising concerns about how rate hikes will affect the economy.
JapanBank of JapanOxford Economics
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Evidence
- Japan’s low-leverage economy should withstand rate hikes · Oxford Economics
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