17 November 2014

Editorial: Abe’s Okinawa Setback


By Ricky Hough

Local elections in Okinawa deal another blow to the prime minister’s agenda.

Japan’s Prime Minister Shinzo Abe appears set to dissolve the Lower House and call for a snap-election. Abe’s government has instituted a number of unpopular measures including the State’s Secret Law, a cabinet decision to reinterpret Article 9 to allow for collective self-defense, and an April 2014 increase in the consumption tax from 5 to 8 percent. Additionally, the Abe cabinet has been mired in pubic scandal since his recent cabinet reshuffle in early September. To top things off, Abe’s three-pronged approach to tackling deflation and kick-starting Japan’s stagnate economy have proved less than adequate. The yen is deprecating rapidly but the economy remains sluggish, in large part because of the impact of the 3 percent increase in the consumption tax on consumer spending.
Not surprisingly, with these ill effects, combined with the talk of a snap-election, Abe’s poll numbers have plummeted. Of course, the election – most likely to be held on December 14, according to local press reports – is intended to gauge the public’s opinion of the government’s track record and provide Abe with a new mandate for implementing the second phase of the consumption tax increase from 8 to 10 percent in October 2015. Certainly, Abe is taking a huge political gamble and the risks are high. 

Read the full story at The Diplomat