Policymakers and academics are now calling for expansionary fiscal policy. But again, the fiscal policy itself is front-loading strategy. And the only difference is whether demand brought forward from the future is private or public. But essentially it is front-loading. And of course, this fiscal policy should be directed toward productive investment. If that is the case, then it could work. But based on my past experience, I’m very skeptical. But is expansionary monetary policy really a solution to the current problem? For the reason I mentioned, I’m very skeptical. My point is the effort at raising productivity is crucially important but nonetheless, people are flirted with deflation or another policy.

Indeed, return to more conventional monetary policy remains risky, but remaining with a prolonged period of easing monetary conditions leads a financial system into vulnerabilities. It enters into dangerous territories deeper and deeper.