The fiscal 2008 second supplementary budget, which includes a ¥2 trillion cash handout to households, and related bills passed the Lower House Tuesday with majority support of the ruling parties. The supplementary budget includes support for small businesses and regional economies as well. But at a time when the Japanese economy is rapidly deteriorating, the budget is unlikely to be implemented early enough. Opposition forces, which control the Upper House and are opposed to the ¥2 trillion measure, will put up stiff resistance in the chamber.
The opposition's call for using the money for such purposes as social welfare and employment stabilization appears to have public support. A Kyodo News poll shows 70.5 percent of the polled are against distributing the ¥2 trillion in cash benefits.
Asked what the ¥2 trillion should be primarily used for, 42 percent cited social security, including pension and medical services; 26.3 percent, employment stabilization; 11.2 percent, tax cuts; 10.7 percent, measures to increase the birthrate; and 4.5 percent, public works. Only 3.3 percent called for the handout.