Time:
2010 Mar 29 11:15 - 13:15

Language:
The speech will be in English

Summary:
Panel Discussion
Richard Jerram, Head of Asian Economics, Macquarie Capital Securities
Masaaki Kanno, Chief Economist, JP Morgan
Eisuke Sakakibara, Professor of Waseda University

Description:
"Japan in a Deflationary Spiral?"

*Please note that the lunch will be served from 11:15 and the speech will begin at 11:45.

Is Japan on the verge of a deflationary spiral -- or is it simply going through a period of "price adjustment?" Prices that continually fall inevitably deter consumption and investment, a self-perpetuating process that can lead to economic stagnation and further deflation.

Can Japan escape this fate and, if so, how? What can an already heavily indebted Japanese government do through fiscal stimulus to spur demand and counter deflationary pressures? How much more can the Bank of Japan -- which has already pushed short-term interest rates down to nearly zero -- do in order to fight deflation? And could it do more to push down long-term rates? Might the Japanese central bank be forced to finance further government stimulus by "printing money?" Are there other ways of tackling deflation -- such as by depreciating the yen, for example? The issues of how Japan's economic malaise should be tackled are at the heart of the war of words between Finance Minister Naoto Kan and Bank of Japan Governor Masaaki Shirakawa.

We have invited three experts to discuss Japan's narrowing economic options. Eisuke Sakakibara, former vice finance minister for international affairs at the Ministry of Finance and now a professor at Waseda University, is of the view that factors such as the emergence of China and other key economies as global producers of low-cost goods are behind Japan's deflation problems. He had a long and distinguished career in the ministry, culminating in his appointment as vice minister at the time of the Asian financial crisis in 1997.

Richard Jerram, head of Asian Economics for Macquarie Capital Securities, has analyzed the region for more than two decades but specialized in Japan. He was initially in Tokyo during the bubble years of the late 1980s, which was followed by a period working and studying for a doctorate in London before he returned to Japan in 1996.

A former senior official of the Bank of Japan, Masaaki Kanno served as secretary to the governor in charge of Diet issues at the BoJ and was deputy chief representative in Europe, as well as serving as associate director in charge of the central bank's research and statistics department. He is currently managing director and Chief Economist at JP Morgan.

MENU
Sandwich: Prawn, tomato, avocado, dill mayonnaise on champagne
Hot Plate:Spiced skirt-steak with peppers, red onion, sauteed potatoes, spinach & parsley butter

To help us plan properly, please reserve in advance: at the Front Desk (3211-3161) or online (http://www.fccj.or.jp - please log in to reserve). The charge for members/guests is 1,260 yen/2,200 yen for the sandwich option, and 1,575 yen/2,500 yen for the hot lunch option, tax included. Reservations canceled less than 24 hours in advance will be charged in full. If you do not make a reservation or reserve late, your meal may vary from the scheduled menu.

Professional Activities Committee