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  • 1. Has Japan recently experienced a recession? If so, when did it start?
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  • 2. Looking at other tables on the web site, what other economic problems appear to be associated with the recession in Japan?
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  • 3. What has happened to the inflation rate in Japan in recent quarters?
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  • 4. 4. Why does the author argue that the Bank of Japan needs to take a radical, unconventional approach to monetary policy?
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  • 5. Why won\'t conventional fiscal and monetary policies work?
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  • 6. What form does the author suggest monetary policy should take?
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  • 7. What is the real interest rate when the nominal rate of interest is 10 percent and the expected inflation rate is 4 percent?
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  • 8. What is the real interest rate when the nominal rate of interest is 4 percent and the expected rate of deflation is 2 percent?
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  • 9. Approximately what is the current short-term interest rate in Japan?
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  • 10. Approximately what is the government bond rate?
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  • 11. Why does the author suggest that nominal interest rates can be negative?
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  • 12. Would you expect that rates on bank deposits would currently be less than zero in the United States?
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