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Writer's pictureGlobal Impacts

Business experts revealed Japan's immuned in global inflation surge

Japan keeps consumer prices flat, yet this might be a sign of rigidities that hamper growth

At a time when Americans and Europeans are wrestling with rising inflation, Japan shows how to keep consumer prices virtually flat.


After decades of very low inflation, Japanese shoppers resist paying higher prices and businesses seldom try to lift them. Companies hoard cash and stint on investment, and keep the labor market rigid so workers can’t easily move to growing businesses and get pay increases.

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