The slump in the Japanese economy is due to a combination of various factors, but the main ones include a slump in demand after the collapse of the bubble economy, a labor shortage due to a declining and aging population, sluggish productivity growth, and a slowdown in innovation.

When I asked an AI about the reasons for the sluggish Japanese economy, I received the following answer:

First of all, the economic slump and declining population are the responsibility of the government.
Japan is the only developed country to have experienced an economic slump for the past 30 years.

There has been no war, and Japanese people work hard, yet we're in this economic situation.

Furthermore, due to the misguided policies of the Japanese government and the Japan Business Federation, Japan's domestic demand has declined, many companies have gone bankrupt, and the population has even declined.

Those misguided policies include the revision of the temporary worker law and the introduction of a consumption tax.

Because of these policies, the average salary and savings of Japanese people have been falling for about 30 years.

In this situation, it's only natural for young people to give up on getting married and having children.

Before answering your question, I have to explain the background   .

The consumption tax, in particular, is an extremely nefarious tax, and small and medium-sized businesses are required to pay it even if they are in the red.

To reduce the consumption tax they pay, many companies have begun hiring temporary workers.

This is because the cost of temporary workers can be recorded as an expense rather than a labor cost.

However, large Japanese companies (exporting companies) receive huge consumption tax refunds from the government.

This is because they are not required to pay consumption tax to exporting countries.

There are also major problems with Japan's Ministry of Finance.

They control Japanese politicians, the ruling party, and the mass media.

This is because the Ministry of Finance is the only ministry responsible for collecting taxes and allocating the budget.

The consumption tax was introduced under the initiative of the Ministry of Finance.

Ministry of Finance bureaucrats are promoted if they raise taxes during their term, and demoted if they lower taxes.

That's why they always emphasize raising taxes.

In 2025, demonstrations calling for the dismantling of the Ministry of Finance are spreading in Japan.

First, when finance bureaucrats retire, they are hired as advisors by large corporations.
Despite having no work, they earn over 1 billion yen in the 10 years after retirement.
In exchange, large corporations and major media outlets are able to avoid tax audits.

I believe the Ministry of Finance, the ruling party, and the Japan Business Federation should be dismantled.
Therefore, we, the people, must elect political parties and politicians who will advocate for improving the lives of the Japanese people in elections.

As of 2025, demonstrations calling for the dismantling of the Ministry of Finance are spreading in Japan.