Skip to main content

Corporate tax cuts unlikely to revive capital spending

Firms have responded to the sharp fall in corporate tax rates since Mr Abe returned to power by stepping up investment abroad rather than at home. With bleak demand prospects as a result of poor demographics, we doubt that the additional tax cuts planned in coming years will be able to revive capital spending on their own.

Subscriber content

Read this in full, free

Start a free trial and use one of your 10 free starter credits to unlock this piece.


Free. 10 articles. No card required.

By completing this form you are agreeing to our Terms and Conditions for the provision of a free trial of Capital Economics' services. We take your privacy seriously and will not share your details with others without your consent. By providing your details, including your email address, you are consenting to Capital Economics sending you macroeconomic commentary and analysis. You can unsubscribe at any time. See our Privacy Policy for more information.