Economic Policies after the Change of Government in Japan

Abstract

This paper considers changes in economic policies of the Hatoyama and Kan governments after the change of government in 2009. And then the paper confirms the significance of reinforcing a sustainability of the Japan society that is under the current deflation and strong yen and the zero interest rates and that is suffering from the declining birth-rate and aging. Finally the paper shows desirable economic policies that can ensure coexistence of economic growth, fiscal reconstruction and the environmental preservation after reexamining the theoretical frame of macroeconomic policy for attaining the sustainability.