Japan to boost stimulus to $1.1 trillion as virus threatens deeper recession

first_imgTopics : Japan is boosting its new economic stimulus package to expand cash payouts to its citizen as the coronavirus fallout threatens to push the world’s third-largest economy deeper into recession.Prime Minister Shinzo Abe unveiled the new stimulus less than two weeks after his cabinet approved an earlier plan to spend 108.2 trillion yen ($1 trillion), which had detailed payouts of 300,000 yen to households with sharp drops in incomes hit by the outbreak.Abe has caved into pressure from within his own ruling bloc to boost the help with a payment of 100,000 yen for every citizen instead of 300,000 yen for limited households, analysts say, even as the new amount triples the cost to 12 trillion yen from what the government had originally planned. Expansion of the scheme may support private consumption that accounts for more than half of the economy, some analysts said, while others believe most of the payout would end up in savings rather than spending to shore up the economy.”Recipients of the payouts include the rich and the people whose incomes are not suffering, so savings will also rise,” said Ryutaro Kono, chef economist at BNP Paribas Securities. “Even considering more people will suffer an economic pain this time than during the 2009 financial crisis, the proportion of the payouts that will be spent is estimated at about 40%. As such, it would push up GDP only by 0.3 percentage points.”The upsized package will total 117.1 trillion yen ($1.086 trillion), with fiscal measures making up less than half of it, a draft reviewed by Reuters showed. Some 25.7 trillion yen will be funded by an extra budget for the fiscal year from April 1, compared with an initial extra budget worth 16.8 trillion yen.Monetary, fiscal policy mixcenter_img While the government boosts fiscal stimulus, the Bank of Japan has also joined other central banks to roll out stimulus to stave off the risk of global recession.The BOJ eased monetary policy last month by pledging to boost risky asset purchases and create a new loan scheme to pump more money into firms hit by slumping sales. The central bank will discuss further steps to ease corporate funding strains at this month’s rate review as the impact hits profits.The government now plans to issue extra bonds worth 25.6914 trillion yen to fund the supplementary budget, the draft showed.Of the extra bond issuance, some 23.3624 trillion yen will be deficit-covering bonds and the reminder will be used to finance infrastructure spending, bringing the amount of market issuance to the upper range of 152 trillion-153 trillion yen.The extra borrowing will add to the industrial world’s heaviest public debt burden, which is more than twice the size of Japan’s $5 trillion economy.It is rare for the government to compile an extra budget at the start of a new fiscal year, and it is even rarer to revise a budget draft that has been approved by the cabinet after coordinating closely with the ruling coalition.Last week, the prime minister, who has been criticized by some over his handling of the pandemic, apologized for confusion over a plan to start distributing coronavirus relief payments next month.Abe’s cabinet is expected to endorse the stimulus spending plan as early as Monday.More than 200 people have died from the virus in Japan, which has reported over 11,000 infections, of which more than a quarter are in Tokyo.last_img read more

Dilbert Barrett

first_imgDilbert Barrett, 89, of Versailles passed away at 2:20pm, Saturday, February 17, 2018 at his home. He was born at Booneville in Owsley County, Kentucky on January 31, 1929 the son of Levi and Dora Baker Barrett. He was married to Martha Feller on September 3, 1949 and his wife of 68 years survives. Other survivors include one son Timothy (Candy) Barrett of Versailles; one daughter Marlene Smith of Westport; 7 grandchildren and 10 great-grandchildren; one brother James (BJ) Barrett of Booneville, Kentucky; one sister Louise Rice of Beattyville, Kentucky. He was preceded in death by his parents, his daughter Elaine Farrell, and his brothers Lee, Earl, Johnny, and Robert Barrett. Mr. Barrett retired in 1988 from Schenleys’ at Lawrenceburg where he worked as a blender for 31 years. Earlier in his career Dib worked at a veneer mill in Lawrenceburg, worked on the railroad, and also at Fisher Body. At home he was a farmer, raising tobacco, keeping bees, and producing a prize winning garden from seeds he’d saved the previous season. Retirement years also found him at McDonald’s in Versailles where he participated in the morning and afternoon “coffee clubs.” Dib was baptized at the Bear Creek Baptist Church in Friendship on October 15, 1967 and remained a faithful member until his passing. At church he served as a deacon from 1973 to present, and also served as Sunday school superintendent, assistant teacher, moderator, and as a trustee. He also participated in the Laughery Baptist Association Men’s Brotherhood and served on the association’s executive committee. He was also a member of the Hopewell Masonic Lodge at Dillsboro and in 1999 Dib was named a Kentucky Colonel. Funeral services will be held on Wednesday, February 21st at 11am at the Bear Creek Baptist Church in Friendship with Rev. Sherman Hughes officiating. Burial will be in the Akers Friendship Cemetery. Visitation will be on Tuesday from 4pm to 7pm at the Stratton-Karsteter Funeral Home in Versailles and from 10am until time of services Wednesday at the church. The Hopewell Masonic Lodge will conduct services at 7pm Tuesday at the funeral home. Memorials may be given to the Bear Creek Baptist Church or the Akers Friendship Cemetery in care of the funeral home.last_img read more

Transfer applications up slightly

first_imgThe USC Office of Admission has seen a small increase in the number of transfer applications received this year, though officials say the jump is not dramatic.According to Tim Brunold, director of undergraduate admission, the number of transfer applications is up about 3 to 5 percent.Brunold said the increase of California applicants is not drastically different than the overall increase in applications, though he suspects the slight increase can be attributed to the current turmoil in higher education.“It’s probably been a 200 application increase from California, which would be proportional to that overall increase,” Brunold said.With the recent budget cuts to California higher education, state community colleges and University of California schools have had to cut back on the number of courses offered to its students, raising a possible explanation for the increase in transfer applications.“I wouldn’t say that the increase has been dramatic,” Brunold said. “It’s not as if we are seeing a huge percentage increase from a certain type of school, but there definitely has been a reasonable size increase from the UCs. Last year we got about 400 from the UC system, and this year we have about 450 — an increase that is more than coincidental.”According to preliminary data, the quality of the transfer applicant pool has also stayed at a high level, a trend that the admission office said it sees every year.“We do ask for students to self-report what their GPA is, and that number is at the same high quality it has been in past years,” Brunold said. “Those patterns look similar, which is a very positive thing for us.”For Kevin Khakshouri, a junior majoring in policy, planning and development, his transfer from Santa Monica College to USC brought with it a change in work ethic.“You have to do a lot more reading; it’s basically more work,” Khakshouri said of his transition to USC. “I could get by without doing the reading, whereas at ’SC I can’t wait till the last minute. I have to stay consistent.”For USC, the recent transfer applicant pool is indicative of the increasing caliber of students looking to transfer.“Our transfer applicants are very high quality. Last year the average transfer had a 3.65 GPA. Every indication so far is that the quality has stayed the same. It certainly has not gone down,” Brunold said. “It’s getting to the point where the typical rate of transfer admission is similar to freshman admits.”last_img read more