A Bank of Japan (BOJ) survey found that 95.5% of respondents saw prices rise over the year to September, while 54.4% said their household circumstances had worsened over that period.
The poll, released Oct. 13, showed that 68.9% said prices had risen significantly and 26.6% said the increase was slight. Among respondents who perceived higher prices, 84.9% chose “rather unfavorable,” one of the survey’s response categories. The questionnaire asked about the overall prices of goods and services people buy, so the result captures personal perceptions rather than an official inflation measure.
For the next 12 months, 88.6% anticipated higher prices, versus 90.4% in June. The latest figure comprised 34.5% expecting a significant rise and 54.1% a slight one. Over a five-year horizon, 86.5% expected prices to climb, compared with 86.1% in June. Among those anticipating increases over five years, 81.9% selected recent price rises as a reason; respondents could give multiple answers.
The share saying their household circumstances had worsened was down from 55.0% in June. Among respondents reporting a deterioration, 91.4% cited rising prices and 29.0% cited lower salary or business income. Those figures overlap because respondents could select more than one reason.
Views of the broader economy were also negative, though less so than in June. A total of 58.2% said conditions had worsened over the previous year, down from 62.5%. Looking a year ahead, 42.8% expected conditions to deteriorate, 49.6% anticipated little change and 6.6% expected improvement.
The BOJ surveyed people living in Japan who were at least 20 years old from Aug. 3 to Sept. 4. Of 4,000 people sampled, 1,972 provided valid responses. The BOJ began the poll in 1993 to understand public concerns related to its policy and operations and to gain insight into people’s perceptions and actions. It is separate from the Tankan, the BOJ’s survey of Japanese enterprises.
