As Japan prepares to celebrate the end of the year, rising costs of essential goods have sparked concerns about the impact on household finances. The unrelenting inflation trend, caused by a combination of factors, may continue to hurt financially vulnerable households during the peak spending period of the New Year holiday season. Addressing this concern requires a multi-faceted approach from both policy makers and citizens.

Inflation has a major impact on Japanese society, particularly affecting the middle and lower economic brackets. As the year-end and New Year are significant times for expenditure due to celebratory customs and traditions, a rise in prices can have a significant impact on the household budget. Japanese people value economic stability, so this issue may lead to dissatisfaction and calls for governmental action.

In contrast to Japan, inflation in the US and EU is typically responded to with monetary policy adjustments, such as interest rate changes, implemented by independent central banks. In these regions, the public has a more direct influence on these matters, either through parliament or congress.