Tuntex Professor of Economics, Yale University
Monday, December 01, 2014, 12:30 - 13:30
Koichi Hamada was plucked out of relative obscurity with a phone call at his Connecticut home in October 2012. Shinzo Abe, running for a second time as prime minister, asked the retired Yale Professor about how monetary policy could pull the economy into recovery and out of deflation.
On coming to power in December that year, Abe appointed Hamada as a special adviser tasked with helping him pick the next Bank of Japan governor. Hamada got his man. Haruhiko Kuroda rocked the Japanese economy and global markets in April 2013 when he unleashed the first of Abenomics' three arrows in a bazooka shot of monetary easing, sending the yen on a nosedive and stock prices skyward.
Hamada has since been shuttling between the United States and Japan to both advise Abe and sell Japan's economic policies to the rest of the world. Along with the likes of Paul Krugman and fellow advisor Etsuro Honda, his vocal opposition to the next sales-tax increase helped -- along with shocking GDP figures -- persuade Abe it was better to postpone a further hike.
Now with an election just weeks away, both Abe's Liberal Democratic Party and the opposition Democrats, have made the economy the focus of the campaign. Hamada will come to the club to give his case as to why, in recession, Abenomics hasn't failed, and give some pointers to where the economy is heading in the coming years.