Core Viewpoint - The article discusses the criticism of the Japanese government's supplementary budget proposal for the fiscal year 2025, which amounts to 18.3034 trillion yen (approximately 831.1 billion RMB), with a significant portion funded through new government bonds [1][2]. Group 1: Budget Details - The supplementary budget approved by the government totals 18.3034 trillion yen, with 11.696 trillion yen raised through new government bonds to cover funding gaps [1][2]. - The budget reflects the government's ongoing commitment to "responsible active fiscal policy" despite the substantial borrowing involved [1]. Group 2: Criticism - Ueno Chikako, a prominent sociologist and professor emeritus at the University of Tokyo, criticized the scale of the supplementary budget, suggesting it indicates a failure of governance, referring to the cabinet as a "nation-destroying cabinet" [2].

Core Points - Japan plans to establish a new office to review subsidies and tax reductions, reflecting Prime Minister Suga's commitment to "responsible active fiscal policy" [1] - The new office will be led by Finance Minister Katayama and is expected to be fully operational by next year, with its first meeting scheduled for next month [1] - The office's main tasks include reviewing tax reduction measures, evaluating the effectiveness of high subsidies, and improving administrative efficiency across departments [1] - The establishment of this office is based on a coalition agreement between the Liberal Democratic Party and the Japan Innovation Party [1] Group 1 - The new office is referred to as "Japan's version of DOGE" and aims to eliminate ineffective tax and subsidy policies [1] - There are concerns regarding the potential challenges in implementing reforms due to existing vested interests and departmental barriers [1] - Katayama emphasized the need for broad consensus and understanding to ensure the sustainability of reforms [1] Group 2 - In contrast, the U.S. Government Efficiency Department, which aimed to cut $1 trillion in federal spending, was reportedly dissolved amid controversies [2] - Katayama noted that simply replicating the U.S. model would not work within Japan's parliamentary cabinet system [2] - The establishment of the efficiency department is seen as an opportunity to reduce waste and enhance transparency, but skepticism remains regarding its effectiveness due to past reform experiences and ongoing debates [2]

Core Viewpoint - The Japanese yen continues to depreciate despite a higher-than-expected CPI of 2.9% in September, as market bets on further yen depreciation persist. Prime Minister Fumio Kishida emphasizes an "economy first, finance later" principle as the foundation of his administration's policies [1]. Group 1 - The market has begun to bet on yen depreciation since Fumio Kishida took office, viewing him as a successor to Abenomics, despite his previous opposition to interest rate hikes [1]. - Kishida's administration has clarified its stance, indicating a separation from dovish policies, suggesting that continued bets on significant yen depreciation may misinterpret Kishida's team's approach [1]. - Kishida's team has stated that their core policy will be based on the principle of "economy first, finance later," with a focus on responsible and proactive fiscal policies [1]. Group 2 - The administration plans to strategically deploy fiscal spending to ensure fiscal sustainability by reducing the debt-to-GDP ratio, thereby stabilizing market confidence [1]. - The current trading range for USD/JPY is constrained by an upward trend line and a downward pressure line around 153.20-153.70, with key support levels identified at 152.00, 150.70, and 149.00 [1].

Core Points - The new Prime Minister, Sanna Takashi, is preparing an economic stimulus plan that may exceed last year's 13.9 trillion yen (approximately 921.9 billion USD) to help households cope with inflation [1][3] - The plan will focus on three main pillars: anti-inflation measures, investments in growth industries, and national security spending [3] - This stimulus plan represents Takashi's first major economic initiative since taking office and reflects her commitment to what she calls "responsible active fiscal policy" [3] - The specific scale of the stimulus plan is still being finalized, with a potential announcement as early as next month [3]