Japan Prime Minister And Subsidies: Updated Nov. 15, 2024.

Ishiba eyes utility bill subsidies, cash handouts as fresh stimulus

Article Source: https://mainichi.jp/english/articles/20241108/p2g/00m/0na/059000c

Ideas:

Maybe 70 percent of Japanese workers don't work for large Japanese companies, and as such they probably didn't get the large wage increase like large company workers. The 70 percent who work for small land mid-size companies could be experiencing some challenges related to inflation, and they too might need some kind of subsidies.

Of course the low-income groups could be in a worst situation and maybe they are contract workers or part-time workers with low salaries and struggle monthly with food and utility bills.

And if they have children that is even more challenging and really need the subsidy, if they can get it soon. But of course what the government sometimes says does't actually happen as different political groups have to compromise on what to do.

There was another article, the last couple of days, that suggest that some Japanese political groups don't want the increased tax level, as it might reduce revenue for local governments.

Of course what the Japanese Diet could do would be to make up any difference in revenue to local governments that happen with the increase in raising the tax threshold for low-income groups. 

Other articles have suggested many of the low-income workers refuse to work more hours because they would have to pay more taxes, as the pay less taxes actually working less hours.

After the 2/11 incident with the tsunami and the nuclear accident at the Fukushima power plant, the Japanese public has been against using nuclear power for anything. 

But what has happened, is a reliance of oil has caused utility prices to increase over the past 11 years or so, and so Japan is looking to find ways to go back to using nuclear power to reduce energy prices in Japan.

Japan also is trying to transition, like other countries into alternative forms of energy but that takes time and money and Japan needs reduced energy prices now not 10 years from now.

Back in May or June of this year the former Prime Minister, Kishida, gave Japanese households a 40,000 cash bonus, but while good and  needed, it probably didn't go very far for most Japanese households and it probably didn't help the Japanese economy that much as most likely it was used on monthly bills and not really used in the Japanese economy.

Japan seems to have been left behind in the semiconductor situation, as Taiwan and South Korea have both moved ahead of Japan.

But what the Japanese government has been able to do recently is invite TSMC, the Taiwanese semiconductor company to build plants in southern Japan under a cooperative agreement between Taiwan and Japan. 

At the same time, with the China/Taiwan situation still brewing TSMC felt it needed another base of operation just in case the situation escalated.

Have a nice day