People predict future prices based on the cost of rice
While central banks use complex mathematical models to track the economy, many people judge their personal financial future by the fluctuating price of a single bowl of grain.
In Japan, the kitchen table serves as a more powerful economic indicator than any government spreadsheet. Despite sophisticated efforts by the Bank of Japan to steer the economy, over eighty percent of citizens base their inflation expectations on the cost of rice. This humble staple has become a psychological anchor; when its price doubled following major policy shifts in 2013, it fundamentally altered how households viewed their purchasing power.
There's more to this story — open the app to keep reading.
Continue Reading in App
1 more paragraphs · plus a 2-question quiz