Japan’s new Prime Minister Sanae Takaichi stands at a crossroads. Her choices will define not only her legacy but the nation’s trajectory for the next decade and beyond.

As the country’s first female prime minister, she can choose revolution through bold pragmatic reforms, settle for incremental change or fail to act decisively. Her choice will determine whether Japan breaks free from its decades-long economic malaise or continues its slow decline into irrelevance.

The revolutionary path requires Takaichi to channel the dynamism of Japan’s most competitive sectors. These include automobiles, robotics, gaming and precision manufacturing across the broader economy. It includes rapidly deploying artificial intelligence and other technologies to increase productivity, creativity and employment flexibility that act as stopgaps on family formation and socioeconomic dynamism.