Abenomics appeared to run out of momentum well before a recent slump in Prime Minister Abe’s popularity put his political future in doubt. In particular, his departure would matter little for structural reform. Monetary policy should also continue along a similar path given how stubbornly low inflation looks set to remain. The one arrow of Abenomics that could be deflected by a new prime minister is fiscal policy, which would probably be tighter under one of his most likely successors.
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