Japan PM's Political Doom Loop Worsens Her Fight with Markets The current state of Japan's economy is a perfect storm of politics, markets, and policy failures that threatens to engulf Prime Minister Sanae Takaichi's government.
The recent slump in her approval ratings has exacerbated the problem, making it increasingly difficult for her administration to implement its promised tax cuts and fiscal stimulus without triggering further market volatility.
Takaichi's troubles began when she took office last year with a pro growth agenda that clashed with investor concerns about fiscal discipline and central bank independence.