Japan Announces 10.3 Trillion Yen Stimulus
The Japanese economy is in enough trouble that the new government has announced a tremendous stimulus package. Japan already has one of the highest debt-to-GDP ratios in the world, and the "investment" is, therefore, a risk.
According to Bloomberg:
The Japanese government will spend 10.3 trillion yen ($116 billion) to drive a recovery from a recession ….
About 3.8 trillion yen will be for disaster prevention and reconstruction, with 3.1 trillion yen directed to stimulating private investment and other measures, according to a statement released today by the Cabinet Office. Extra spending will increase gross domestic product by about 2 percentage points and create about 600,000 jobs, the government said.
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