The continuing struggles of Abenomics

Despite robust profits, a booming stock market and low unemployment, too many Japanese have not benefited from the recovery.

Ever since the yen dropped nearly 6 per cent against the dollar last month, the Abe administration has been scrambling to limit the slide or mitigate its effects. Prime Minister Shinzo Abe and his advisers are well aware that a weaker yen will squeeze household consumption and business balance sheets just as the economy struggles to overcome its consumption-tax hangover.

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