Japan's Election May Produce Mixed Bag for Business

Prime Minister Taro Aso's Liberal Democratic Party has ruled Japan for nearly the entire post-World World II era. But the LDP may soon find itself out of power. On July 13, Aso and top officials of the LDP decided to call a national election on Aug. 30. Given the Cabinet's low support ratings and the ruling party's resounding defeat in a Tokyo assembly election over the weekend, the opposition Democratic Party of Japan (DPJ) could be in for a big win. The Democrats are widely expected to grab control of both houses of Parliament; more important, they will likely get to choose Japan's next Prime Minister from their ranks.

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