Skip to main content

Diminishing capacity shortages won’t prompt rate cuts

Capacity shortages remained pronounced on the eve on the sales tax hike. And even though we expect the output gap to decline a bit over the coming months, that probably won’t trigger additional easing by the Bank of Japan. Meanwhile, we doubt that Carlos Ghosn’s attacks on Japan’s judicial system will discourage foreign investors.

Become a client to read more

This is premium content that requires an active Capital Economics subscription to view.

Already have an account?

You may already have access to this premium content as part of a paid subscription.

Sign in to read the content in full or get details of how you can access it

Register for free

Sign up for a free account to gain:

  • Unlock additional content
  • Register for Capital Economics events
  • Receive email updates and economist-curated newsletters
  • Request a free trial of our services


Get access