Could Japan sustain growth of 2%?

The Japanese government is banking on average annual GDP growth of at least 2% over the next ten years to help bring public debt back under control. This would be well above most estimates of Japan’s sustainable growth rate. But this does not mean that 2% is unachievable. Given the depth of the recent recession, Japan could grow above its sustainable rate for several years. The right structural reforms could lift that growth rate over the longer term as well.