Editorial Board

Japan Can Afford a Higher Sales Tax

Japan’s prime minister, Shinzo Abe, is weighing a tough choice: whether to let an increase in the national sales tax proceed as planned next spring or to postpone it until the economy is stronger. With an announcement expected soon and markets nervously awaiting the decision, Haruhiko Kuroda, governor of the Bank of Japan, last week lent his support to the plan. The economy is strong enough, he said. He’s right.

To continue reading this article you must be a Bloomberg Professional Service Subscriber.