How Inclusive Is Abenomics?

We assess the ongoing reform efforts in Japan in terms of inclusive growth. We use prefectural level panel data to regress a measure of inclusive growth, which incorporates both average income growth and income inequality, on macroeconomic and policy variables. Our analysis suggests that achieving t...

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Bibliographic Details
Main Author: Aoyagi, Chie
Other Authors: Ganelli, Giovanni, Murayama, Kentaro
Format: eBook
Language:English
Published: Washington, D.C. International Monetary Fund 2015
Series:IMF Working Papers
Subjects:
Online Access:
Collection: International Monetary Fund - Collection details see MPG.ReNa
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245 0 0 |a How Inclusive Is Abenomics?  |c Chie Aoyagi, Giovanni Ganelli, Kentaro Murayama 
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300 |a 35 pages 
651 4 |a Japan 
653 |a Income 
653 |a Labour 
653 |a Income distribution 
653 |a Economic development 
653 |a Personal income 
653 |a Aggregate Factor Income Distribution 
653 |a Environmental Taxes and Subsidies 
653 |a Inclusive growth 
653 |a Personal Income, Wealth, and Their Distributions 
653 |a National accounts 
653 |a Labor 
653 |a Economic Growth of Open Economies 
653 |a Macroeconomic Analyses of Economic Development 
653 |a Labor Economics: General 
653 |a Economic growth 
653 |a Macroeconomics 
653 |a Economic Growth and Aggregate Productivity: General 
653 |a Income inequality 
653 |a Taxation and Subsidies: Externalities 
653 |a Redistributive Effects 
653 |a Income economics 
653 |a Labor economics 
653 |a Equity, Justice, Inequality, and Other Normative Criteria and Measurement 
700 1 |a Ganelli, Giovanni 
700 1 |a Murayama, Kentaro 
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520 |a We assess the ongoing reform efforts in Japan in terms of inclusive growth. We use prefectural level panel data to regress a measure of inclusive growth, which incorporates both average income growth and income inequality, on macroeconomic and policy variables. Our analysis suggests that achieving the Bank of Japan’s 2 percent inflation target has a positive effect on average income growth, but an adverse effect on income equality. The package of structural reforms planned under Abenomics is found to be effective in increasing both average income growth and income equality. The main policy implication of our analysis is that full implementation of structural reforms– especially labor market reforms–is necessary to both foster growth and increase equality