Surveys forecasting a Liberal Democratic victory have driven recent rallies on Japan’s stock market and helped drive the Japanese yen — which Abe has pledged to weaken — to a 20-month low against the U.S. dollar on Friday.
Abe is calling for sharply increased public works spending and further easing of Japan’s already loose monetary policies. Such strategies could give Japan’s construction and materials’ industries at least a temporary boost, and help exporters by weakening the Japanese yen — which has remained at stubbornly high levels thanks to the conviction among global investors that the country remains a financial safe haven.
Abe-nomics, the magazine Shukan Bunshun, calls it: ‘‘From People to Concrete. The Abe Bubble is Coming!’’ it said in a front-page story forecasting a return to old-time pork barrel politics and a ‘‘fast-forwarding’’ of mortgage lending.
Despite his convictions, Abe’s room to maneuver likely will be constrained, both by Liberal Democrats’ coalition partner, if it is the Komeito, by powerful business interests and even by Japan’s main ally, the U.S., Funabashi, now chairman of the Rebuild Japan Initiative Foundation, told a conference last week in Tokyo.
‘‘These will be pressuring Abe toward the center,’’ he said.