Results of the 25th Opinion Survey on the General Public's Mindset andBehavior*This is an English translation of the Japanese original released on April 13, 2006.

May 24, 2006
Public Relations Department
Bank of Japan[Contents]
I. Introduction
II. Survey Outline
III. Summary
A. Impression of Economic Conditions
B. Household Circumstances and the General Public's Mindset
C. Perception of the Price Levels
D. Future Developments in Land Prices
E. Growth Potential of the Japanese Economy
F. Degree of Recognition and Credibility of the Bank
IV. Distribution of Aggregated Sample Population by Category
V. Complete Questionnaire and Results
I. Introduction
The Bank of Japan, through public relations activities conducted at its Head Office andbranches, has been seeking to determine the concerns of a broad cross-section of the generalpublic relative to its policy and operations. An example of such action is the Bank's Opinion
Survey on the General Public's Mindset and Behavior, conducted since 1993 with anationwide sample of 4,000 individuals who are at least 20 years of age. This survey isessentially an opinion poll designed to gain insight into the public's perceptions and actions,and therefore differs in character from the Bank's Tankan (Short-Term Economic Survey ofEnterprises in Japan), which is conducted separately from this survey.

II. Survey Outline
Survey period:
Sample size:
Survey sample participants:
Sampling method:
Survey methodology:

From February 23 to March 15, 2006.
4,000 people (1,774 people [i.e., 44.4 percent of the overall
sample size] provided valid responses to questions).
Individuals living in Japan who are at least 20 years of age.
Stratified two-stage random sampling method.
Questionnaire survey. (Researchers visit sample individuals,
ask them to complete the questionnaire within a prescribedperiod, and then collect the finished questionnaires upon
subsequent visits.)1III. Summary
A. Impression of Economic Conditions
1. Economic conditions
The proportion of respondents who judged economic conditions compared with one year ago
to be "improving" increased, while those who judged them to be "worsening" decreased. As aresult, the diffusion index (D.I.) ("improving" minus "worsening") continued to improvefrom the previous survey, with "improving" exceeding "worsening" for the first time since
this question’s introduction in the fourth round of the survey, conducted in March 1996.
The D.I. outlook for one year from now ("will improve" minus "will worsen") rose from theprevious survey, mainly because the proportion of respondents who judged economic
conditions one year from now "will worsen" declined.
Chart 1 Economic Conditions (Questions 1 and 3)(2) One Year from Now Compared with the(1) Present Compared with One Year Ago
Present
September
2004

14.1

December
2004

10.2

59.9

March 2005

8.7

June 2005

11.8

December
2005

19.2

March 2006

22.0
0%

September
2004

13.2

29.9

December
2004

9.4

71.7

18.9

62.8

28.4

March 2005

9.5

73.5

16.7

61.4

26.7

June 2005

10.6

72.7

16.2

December
2005

18.0

65.0

16.6

March 2006

18.1

68.4

13.1

61.4

24.5

59.4

21.4

61.9
20%

Improving

40%

15.9

60%

80%

Remaining the same

100%

0%

74.4

20%

Will improve

Worsening

40%

60%

12.0

80%

100%

Will remain the same

Will worsen

1.2-5.6 1.4(3) Developments in the Economic Conditions D.I.
Percentage points
20
10
0

0.2

-2.1

0.0

-2.2

-10

-20.6

-23.0
-20

-14.9

-10.4

-30
-40
-50
-60
-70
-80

-77.8
Mar. Mar. Mar. Nov. Mar. Sep. Mar. Sep. Mar. Sep. Mar. Sep. Mar. Sep. Mar. June
96
97
98
98
99
99
00
00
01
01
02
02
03
03
04
04

Present compared with one year ago

Sep.
04

Dec. Mar. June Dec. Mar.
04
05
05
05
06

Outlook for one year from now

Mar. Mar. Mar. Nov. Mar. Sep. Mar. Sep. Mar. Sep. Mar. Sep. Mar. Sep. Mar. June Sep. Dec. Mar. June Dec. Mar.
96
97
98
98
99
99
00
00
01
01
02
02
03
03
04
04
04
04
05
05
05
06
Present compared-23.0 -30.2 -70.5 -77.8 -51.5 -35.9 -29.8 -20.6 -56.5 -71.6 -68.2 -53.2 -70.3 -40.5 -24.5 -14.9 -10.4 -19.7 -19.7 -14.9 -2.2 6.1
with one year ago
Changes from the-7.2 -40.3 -7.3 +26.3 +15.6 +6.1 +9.2 -35.9 -15.1 +3.4 +15.0 -17.1 +29.8 +16.0 +9.6 +4.5 -9.3 0.0 +4.8 +12.7 +8.3
previous survey
Outlook for one year
-2.1 -24.8 -21.7 -20.0 -1.3 -1.4 0.2 -0.9 -20.1 -36.4 -20.9 -20.5 -33.4 -9.3 -2.5 0.0 1.2 -9.5 -7.2 -5.6 1.4 5.0
from now
Changes from the-22.7 +3.1 +1.7 +18.7 -0.1 +1.6 -1.1 -19.2 -16.3 +15.5 +0.4 -12.9 +24.1 +6.8 +2.5 +1.2 -10.7 +2.3 +1.6 +7.0 +3.6
previous survey

2

6.1
5.0

2. Basis for assessment of economic conditions
When asked their basis for assessment of economic conditions, "income level for myself orother family members" and "business performance of the company I work for, or of my own
company" continued to be the responses chosen most often, followed by "bustle of shopping
streets and amusement quarters" and "media reports." The proportion of respondents who
answered "no reason in particular" was almost the same as in the previous survey.
In terms of perception of the interest rate level, a little more than 50 percent of respondents
stated that "it has negatively affected my household due to the small amount of interest
income on deposits and others;" this choice continued to represent the highest percentage
selected among those offered. The proportion of respondents who answered "I hope it will
stimulate business activity and thereby lead to an economic recovery" increased to about 50
percent.
Chart 2 Basis for Assessment and Interpretation of Economic Conditions (Question 2)1
41.5
38.6
40.6
35.8
34.4
35.5

Income level for myself or other family members.
Business performance of the company I work for,or of my own company.
27.1
28.2
27.7
24.2
27.0
27.2

Bustle of shopping streets and amusement
quarters.
Media reports.
7.8
19.0
18.3

No reason in particular.

June 2005
December 2005

12.2
11.8
11.6

Economic indicators and statistics.
0%10%March 2006
20%

30%

40%

50%

Note: 1. Up to two answers were allowed.

Chart 3 Perception of the Interest Rate Level (Question 4)1
It has negatively affected my household due to thesmall amount of interest income on deposits andothers.

51.3
53.5
52.0
43.5
42.3

I hope it will stimulate business activity andthereby lead to an economic recovery.

49.9
38.0
33.7
29.1

Even at the current level, we cannot expect an
economic recovery.
Low interest rates are helpful in alleviating thefinancial burden because I am planning to apply
for, or repay, a housing loan.
I don't have many complaints because stable prices
secure principal of deposit even though interest
income is small.

10.7
11.6
13.1
9.0
10.3
11.4
0%

Note: 1. Up to two answers were allowed.

3

20%

June 2005
December 2005
March 2006

40%

60%

B. Household Circumstances and the General Public's Mindset
1. Present household circumstances
In terms of the general public's household circumstances compared with one year ago, theproportion of respondents who answered that their household circumstances "have become
somewhat worse off" decreased. As a result, the D.I. ("have become somewhat better off"minus "have become somewhat worse off") improved (the smallest negative D.I. wasrecorded since this question’s introduction in the sixth round of the survey, conducted in
March 1998).
Chart 4 Present Household Circumstances (Question 19)(1) Present Household Circumstances
September
2004

45.4

48.4

December
2004

44.5

50.2

45.2

49.3

45.2

48.5

45.0

48.3

47.6

44.8

6.1

5.3
March 2005

5.4
June 2005

6.1
December
2005

6.6
March 2006

7.6
0%

20%

40%

Have become somewhat better off

60%

Difficult to say

80%

100%

Have become somewhat worse off(2) Developments in the Household Circumstances D.I.
10

Percentage points

0
-10
-20
-30

-41.7

-40

-50.5

-39.4

-50

-37.2

-43.9 -42.3

-60
-70
-80
Mar. Nov. Mar. Sep. Mar. Sep. Mar. Sep. Mar. Sep. Mar. Sep. Mar. June Sep. Dec. Mar. June Dec. Mar.
98 98 99 99 00 00 01 01 02 02 03 03 04 04 04 04 05 05 05 06

The household circumstances D.I.
The present economic conditions D.I. compared with one year ago
Mar. Nov. Mar. Sep. Mar. Sep. Mar. Sep. Mar. Sep. Mar. Sep. Mar. June Sep. Dec. Mar. June Dec. Mar.
98
98
99
99
00
00
01
01
02
02
03
03
04
04
04
04
05
05
05
06
The household
circumstances D.I.
Changes from theprevious survey
The present economic
conditions D.I. comparedwith one year ago
Changes from theprevious survey-42.5 -49.4 -42.3 -42.9 -41.1 -39.4 -42.6 -40.1 -45.2 -45.1 -50.5 -45.8 -45.5 -44.4 -42.3 -44.8 -43.9 -42.3 -41.7 -37.2-6.9 +7.1-0.6 +1.8 +1.7

-3.2 +2.5-5.1 +0.1-5.4 +4.7 +0.3 +1.1 +2.1

-2.5 +0.9 +1.6 +0.6 +4.5

-70.5 -77.8 -51.5 -35.9 -29.8 -20.6 -56.5 -71.6 -68.2 -53.2 -70.3 -40.5 -24.5 -14.9 -10.4 -19.7 -19.7 -14.9-40.3-7.3 +26.3 +15.6 +6.1 +9.2 -35.9 -15.1 +3.4 +15.0 -17.1 +29.8 +16.0 +9.6 +4.5

4

-9.3

-2.2

6.1

0.0 +4.8 +12.7 +8.3

2. Income and spending
With regard to income level compared with one year ago and the outlook for income over a
one-year period, the proportion of respondents who answered that their income "hasdecreased" and "will decrease" declined while those who stated that it "has increased" and"will increase" rose slightly; thus, the proportions of positive responses to Questions 5 and 6
increased.
In terms of spending level compared with one year ago, the proportion of respondents who
indicated that they "have increased" their spending rose while those who stated they "havedecreased" it declined; thus, the proportions of positive responses increased. Concerning theoutlook for spending over a one-year period, the proportions of responses was almost thesame as in the previous surveys.
Chart 5 Income (Questions 5 and 6)(1) Present Income Level Compared with (2) Income Level One Year from Now
Compared with the Present
One Year Ago
September
2004

45.2

September
2004

47.9

6.8

58.7

34.7

56.8

37.2

56.7

36.4

58.5

34.5

57.7

35.4

59.2

32.2

6.6

December
2004

47.7

45.9

December
2004

48.5

44.8

March 2005

6.2

5.8

March 2005

6.7

6.5
June 2005

50.1

42.9

June 2005

53.9

38.8

December
2005

54.7

36.1

March 2006

6.9

6.8
December
2005

7.2

6.8

March 2006

8.4

9.2
0%

20%

40%

60%

80%

100%

0%

20%

40%

60%

80%

100%

Will increase
Will remain the same
Will decrease

Has increased
Has remained the sameHas decreased

Chart 6 Spending (Questions 7 and 9)(1) Present Spending Level Compared with (2) Spending Level One Year from Now
Compared with the Present
One Year Ago
September
2004

42.3

51.6

6.0
50.0

43.1

39.3

December
2004

56.6

41.3

56.8

40.5

56.5

41.8

58.5

39.4

56.9

39.9

1.8

6.8
49.8

43.2

March 2005

51.3

40.9

June 2005

53.5

39.3

December
2005

53.2

36.9

March 2006

2.3

6.9
June 2005

7.6
December
2005

1.3
2.0

7.1
March 2006

3.0

9.9
0%

59.0

1.4

December
2004
March 2005

September
2004

20%

40%

60%

80%

Have increased
Have neither increased nor decreased
Have decreased

100%

5

0%

20%

40%

60%

Will increase
Will neither increase nor decrease
Will decrease

80%

100%

3. Employment conditions
When asked about concerns over employment and working arrangements, the proportion of
respondents1 who felt "worried"2 to some extent continued to account for a little less than 80
percent.
1

Respondents are workers who are company employees, civil servants, other types of employees, orpart-timers.
2"Worried" comprises "quite worried" and "slightly worried."

Chart 7 Concerns over Employment and Working Arrangements (Question 22 [workers1])

September 2004

27.8

51.9

16.7

3.4

December 2004

24.5

54.6

17.5

3.2

March 2005

26.8

50.5

19.1

3.5

June 2005

26.0

51.3

18.8

3.5

December 2005

27.3

51.5

17.4

3.8

March 2006

27.9

49.2

19.2

3.6

0%

20%

40%

60%

80%

100%

Quite worried
Slightly worried
Not particularly worriedHas no relevance to me or my family

Note: 1. Workers are company employees, civil servants, other types of employees, or part-timers.

6

C. Perception of the Price Levels
1. Present price levels
Regarding their perception of the present price levels compared with one year ago, theproportion of respondents who felt that prices1 "have gone up"2 increased, while those who
felt that they "have gone down"3 decreased.
When asked to what extent the price levels have changed compared with one year ago interms of a specific figure, the average was 1.2 percent, rising from 0.8 percent in the previous
survey. The median continued to be 0.0 percent.
1

Defined as "overall prices of goods and services the respondents purchase.""Have gone up" comprises "have gone up significantly" and "have gone up slightly."
3"Have gone down" comprises "have gone down significantly" and "have gone down slightly."2

Chart 8 Perception of the Present Price Levels (Questions 12 and 13)(1) Present Compared with One Year Ago

12.9 1.6

60.7

March 2004

22.2

June 2004

19.4

55.8

20.3

1.7

20.7

56.2

19.6

1.3

2.4
2.6

September 2004

1.9
December 2004

1.7
March 2005

15.2

54.7

25.6

2.5

16.5

58.6

20.8

1.9

17.2

57.9

21.0

2.3

15.8

56.7

23.4

2.6

12.2

57.1

26.0

3.4

2.0
June 2005

1.2
December 2005

1.2

March 2006

1.1
0%

20%

40%

60%

(2) Changes in the Price Levels Comparedwith One Year Ago

March 2004
June 2004
September 2004
December 2004
March 2005
June 2005
December 2005
March 2006

80%

Have gone down
significantly
Have gone downslightly
Have remained
almost unchanged
Have gone up
slightly
Have gone up
significantly

100%(3) Distribution of Current Survey
Answers1,2[-5.1% and under][-2.1% to -5.0%]
3.9
(4.8)
4.6 (5.7)[5.1% and over]Average1 Median2
-0.3%
0.0%
0.2%
0.0%
0.2%
0.0%
1.3%
0.0%
0.7%
0.0%
0.8%
0.0%
0.8%
0.0%
1.2%
0.0%

[-0.1% to -2.0%][0.1% to 2.0%]

3.1

10.1

[2.1% to 5.0%]

12.0

(3.1)

(8.6)

(10.5)

7.7 (6.9)
[0%]

58.5
(60.4)

Notes: 1. Calculated by excluding 0.5 percent of
the highest and the lowest figures,
respectively, in order to avoid extremes(the simple average is 1.3 percent).
(The simple average of the last survey
in December 2005 was 0.8 percent.)
2. The number that appears in the middle
when the answers are listed innumerical order.

Notes: 1. Percent.
2. Figures in parentheses represent resultsof the previous survey (December 2005).

7

2. Outlook for price levels one year from now
In terms of the outlook for price levels one year from now, the proportion of respondents who
expected that prices "will go up"1 was almost the same as in the previous survey, when it
reached around 50 percent.
When asked to what extent the price levels will change one year from now in terms of a
specific figure, the average was 2.1 percent, almost the same as in the previous survey. The
median was 0.0 percent.
1"Will go up" comprises "will go up significantly" and "will go up slightly."

Chart 9 Outlook for the Price Levels One Year from Now (Questions 14 and 15)(1) One Year from Now Compared with the Present

9.1

March 2004

0.6
June 2004

0.6
September 2004

0.2
December 2004

0.1
March 2005

0.3
June 2005

0.4
December 2005

0.2
March 2006

0.2
0%

59.4
5.7

51.9

38.5

1.5

5.6

55.6

35.4

1.7

6.1

53.5

35.8

2.0

6.1

59.0

30.4

1.8

5.2

57.6

32.9

1.7

Will go up
slightlyWill go up
significantly

Will go down
significantly

6.0

46.4

44.3

2.4

5.4

48.1

43.5

2.4

20%

40%

60%

(2) Changes in the Price Levels One Yearfrom Now

March 2004
June 2004
September 2004
December 2004
March 2005
June 2005
December 2005
March 2006

1.3

28.9

80%

Will go downslightlyWill remain almost
unchanged

100%(3) Distribution of Current Survey
Answers1,2[-5.1% and under]

Average1 Median2
1.2%
0.0%
1.6%
0.0%
1.4%
0.0%
1.8%
0.0%
1.3%
0.0%
1.6%
0.0%
2.2%
0.0%
2.1%
0.0%

[-2.1% to -5.0%]

1.7

(1.4)

1.4(2.4)[-0.1% to -2.0%]

2.1[5.1% and over]

(2.0)

10.0

(11.6)[2.1% to 5.0%]

21.2(19.5)[0%]

48.4(48.5)[0.1% to 2.0%]

Notes: 1. Calculated by excluding 0.5 percent of
the highest and the lowest figures,
respectively, in order to avoid extremes(the simple average is 2.1 percent).
(The simple average of the last survey
in December 2005 was 2.3 percent.)
2. The number that appears in the middle
when the answers are listed innumerical order.

15.1(14.6)

Notes: 1. Percent.
2. Figures in parentheses represent resultsof the previous survey (December 2005).

8

3. Outlook for price levels over the next five years
Regarding the outlook for price levels over the next five years, the proportion of respondents
who answered that prices "will go up"1 was almost the same as in the previous survey,
accounting for more than 65 percent.
When asked about the specific rate of price change per year on average over the next five
years, the average was 2.3 percent, almost the same as in the previous survey. The medianwas 1.0 percent.
1"Will go up" comprises "will go up significantly" and "will go up slightly."

Chart 10 Outlook for Price Levels over the Next Five Years (Questions 16 and 17)(1) Outlook for the Next Five Years
March 2004

0.9
June 2004

0.9
September 2004

0.5
December 2004

0.3
March 2005

0.6
June 2005

0.4
December 2005

0.3
March 2006

6.6

47.9

32.2

10.3
6.4

28.7

53.9

7.7

7.0

31.1

52.0

7.7

Will go down
significantly

6.9

28.5

53.6

8.6

Will go downslightly

7.6

31.6

50.9

7.4

Will remain almost
unchanged

7.9

28.4

53.9

7.5

Will go up
slightlyWill go up
significantly

7.1

24.5

54.8

11.6

6.2

24.7

57.0

10.5

0.3
0%

20%

40%

60%

(2) Changes in the Price Levels per Year on
Average over the Next Five Years

March 2004
June 2004
September 2004
December 2004
March 2005
June 2005
December 2005
March 2006

80%

100%

(3) Distribution of Current Survey
Answers1,2[-5.1% and under]

Average1 Median2
1.7%
0.2%
1.9%
1.0%
1.6%
0.5%
2.1%
1.0%
1.8%
0.5%
1.9%
1.0%
2.4%
1.0%
2.3%
1.0%

[-2.1% to -5.0%]

1.1[5.1% and over]

2.1(1.8) [-0.1% to -2.0%]

(0.6)

3.0
(3.8)

9.1
(10.3)[0%][2.1% to 5.0%]

27.3

25.0
(24.8)

Notes: 1. Calculated by excluding 0.5 percent of
the highest and the lowest figures,
respectively, in order to avoid extremes(the simple average is 2.3 percent).
(The simple average of the last survey
in December 2005 was 2.5 percent.)
2. The number that appears in the middle
when the answers are listed innumerical order.

(29.3)[0.1% to 2.0%]

32.4(29.5)

Notes: 1. Percent.
2. Figures in parentheses represent resultsof the previous survey (December 2005).

94. Comments on the decline and rise in prices
Among all respondents, 13.3 percent answered that prices compared with one year ago "havegone down"1 and were asked for comments on the price decline; those who stated that theprice decline was "rather favorable" increased, accounting for nearly 60 percent, while those
who indicated that it was "rather unfavorable" decreased.
Among all respondents, 29.4 percent answered that prices compared with one year ago "havegone up"2 and were asked for comments on the price rise; those who stated that the price risewas "rather unfavorable" accounted for about 80 percent, as in the previous surveys.
1
2"Have gone down" comprises "have gone down significantly" and "have gone down slightly.""Have gone up" comprises "have gone up significantly" and "have gone up slightly."

Chart 11 Comments on the Price Decline (Question 12-(a))

43.8

36.1

18.7

June 2004

49.7

31.4

18.8

September 2004

50.7

34.8

14.3

December 2004

53.5

31.7

14.4

March 2005

52.5

31.1

16.0

June 2005

52.2

32.7

14.9

December 2005

51.2

28.9

19.9

March 2004

58.3

March 2006
0%20%

Rather favorable

25.5
40%

60%

Neither favorable nor unfavorable

15.7
80%

100%

Rather unfavorable

Chart 12 Comments on the Price Rise (Question 12-(b))1
June 2004

20.3

75.0

19.9

75.6

17.2

78.6

18.7

77.4

14.1

82.9

17.6

79.4

17.6

78.5

4.1
September 2004

4.2
December 2004

3.4
March 2005

3.0
June 2005

3.0
December 2005

3.0
March 2006

3.6
0%
20%
40%
60%
Rather favorable
Neither favorable nor unfavorable

80%
100%
Rather unfavorable

Note: 1. This question was introduced from the 19th round of the survey, conducted in June 2004.

10

D. Future Developments in Land Prices
When asked about future developments in land prices, the proportion of respondents who
answered that land prices "will drop" slightly decreased. As a result, the D.I. ("will rise"minus "will drop") slightly improved from the previous survey (the largest positive D.I. wasrecorded since this question’s introduction in the fifth round of the survey, conducted in
March 1997).
Chart 13 Perception of the Future Development in Land Prices (Question 18)(1) Perception of the Future Development in Land Prices
September 2004

16.5

42.4

13.9

26.5

December 2004

16.8

42.4

13.8

26.6

March 2005

15.1

42.9

12.2

29.1

June 2005

16.4

42.7

13.7

26.5

December 2005

16.8

56.9

13.6 12.6

March 2006

16.8

56.5

12.3 14.3

0%

20%

40%

60%

80%

100%

Will riseWill remain at about the current level for some timeWill drop
Don't know

(2) Developments in the Land Prices D.I.1
10

Percentage points

4.5
5

0.7
0

-6.3

-5
-10

-14.7

-7.6
-14.2

-15
-20

3.1 3.0 2.6 3.2-2.0-1.6

-11.1
-12.2

2.6

-12.6

-16.5
-19.0

-18.7 -19.2-25
Mar. Nov. Mar. Sep. Mar. Sep. Mar. Sep. Mar. Sep. Mar. Sep. Mar. June Sep. Dec. Mar. June Dec. Mar.
97 98 99 99 00 00 01 01 02 02 03 03 04 04 04 04 05 05 05 06

Note: 1. This question was not included in the sixth round of the survey, conducted in March 1998.

11

E. Growth Potential of the Japanese Economy
When asked about the Japanese economy's growth potential, the proportion of respondents
who replied that the Japanese economy was "unlikely to grow in the long run" decreased. As
a result, the D.I. ("has potential to grow" minus "unlikely to grow") recorded the smallest
negative percentage-point figure since this question’s introduction in the fifth round of thesurvey, conducted in March 1998.
Chart 14 Perception of the Japanese Economy's Growth Potential (Question 20)(1) Perception of the Japanese Economy's Growth Potential
September 2004

19.5

28.4

51.8

December 2004

17.7

27.7

54.2

March 2005

17.1

28.7

53.8

June 2005

18.0

24.6

57.0

December 2005

21.8

24.0

54.0

March 2006

22.3

25.4

52.1

0%

20%

40%

60%

80%

100%

Has potential to grow in the long run, though there may be a temporary slowdown
Cannot say
Unlikely to grow in the long run(2) Developments in the Japanese Economy's Growth Potential D.I.1-25

Percentage points

-29.9
-30

-32.2

-35.5 -35.7

-35

-40

-31.9 -32.3

-32.1

-36.7

-34.4
-36.9 -36.9

-36.4

-40.6

-39.0
-41.9

-45

-42.3
-44.6

-50
Mar.
98

Nov.
98

Mar.
99

Mar.
00

Mar.
01

Mar.
02

Sep.
02

Mar.
03

Sep.
03

Mar.
04

June
04

Sep.
04

Dec.
04

Mar.
05

June
05

Dec.
05

Note: 1. This question was not included in the ninth, eleventh, and thirteenth rounds of the survey,
conducted respectively in September 1999, September 2000, and September 2001.

12

Mar.
06

F. Degree of Recognition and Credibility of the Bank
1. Objectives of the Bank
When asked about their recognition of two Bank objectives (price stability and financial
system stability), the proportion of respondents who stated that they "have knowledge of it"
was almost the same as in the previous survey.

Chart 15 Recognition of Price Stability (Question 26)
Dec. 2005

25.3

39.0

35.3

Mar. 2006

24.8

39.5

35.6

Dec. 2005

15.3

34.9

49.4

Mar. 2006

16.6

36.2

47.0

(1) One objective of the Bank is to maintain price stability.

(2) With regard to current monetary policy, the Bank conducts a
so-called “quantitative easing policy,” in which current
account balances at the Bank rather than interest rates are
adopted as the Bank’s main operating target.
(3) The Bank is committed to continuing the quantitative easing
policy until the year-on-year rate of change in the consumer
price index (excluding fresh food, on a nationwide basis)
registers zero percent or higher on a sustainable basis.

Dec. 2005

6.4
Mar. 2006

8.1
0%

28.3

64.8

28.0

63.6

20%

40%

60%

80%

100%

Have knowledge of it
Have heard of it, but do not have detailed knowledge
Have never heard of it

Chart 16 Recognition of Financial System Stability (Question 27)(1) One objective of the Bank is to maintain financial systemstability.

Dec. 2005

35.5

35.7

28.5

Mar. 2006

36.4

37.3

26.0

(2) The Bank provides safe settlement instruments with theDec. 2005
highest settlement finality, such as banknotes and current
accounts at the Bank, and operates its own funds transfer
Mar. 2006
system and settlement system for Japanese government bonds.

(3) The Bank can extend loans such as special loans to financial
institutions in order to ensure financial system stability.

(4) The Bank conducts on-site examinations and visits tofinancial institutions.

25.2

38.9

35.5

26.2

39.7

33.7

Dec. 2005

27.0

36.5

36.1

Mar. 2006

28.2

38.2

33.3

Dec. 2005

22.4

32.3

44.9

Mar. 2006

19.2

35.1

45.4

0%

20%

40%

60%

80% 100%

Have knowledge of it
Have heard of it, but do not have detailed knowledge
Have never heard of it

13

2. Condition of the new series of Bank of Japan notes
When asked about the condition of the new series of Bank of Japan notes issued sinceNovember 2004, high-denomination banknotes are considered cleaner thanlow-denomination banknotes.

Chart 17 Condition of the New Series of Bank of Japan Notes (Question 29)

7.8(1) 10,000 yen note

20.4

49.4

20.8

1.5
11.3

(2) 5,000 yen note

25.6

43.9

16.5

2.7
(3) 1,000 yen note

10.7
0%

24.4
20%

27.9
40%

28.9
60%

Is becoming worn
Is becoming somewhat worn
Cannot say
Is relatively clean
Is clean

14

80%

8.0
100%

3. Comprehensive recognition and evaluation of the Bank
When asked about recognition of the Bank, the proportion of respondents who stated thatthey "do not know about the Bank's policy and operations"1 decreased, accounting for fewer
than 60 percent.
More than 50 percent of respondents thought that "the Bank is related to our lives,"2 with alittle over 35 percent replying that "the Bank is contributing to our lives,"3 as in the previous
survey.
The proportion of respondents who felt that "the Bank's explanations to the public are notclear enough"4 continued to account for around 55 percent. Among all respondents, 56.5
percent felt that "the Bank's explanations to the public are not clear enough" and were asked
for their reasons (Chart 19), with many stating that they have a "lack of basic knowledge
about the Bank" and "have never had the opportunity to read or hear the Bank's explanations,"
as in the previous surveys.
A little more than 30 percent of respondents stated that they "have confidence in the Bank,"5while about 10 percent indicated that they "do not have confidence in the Bank," as in theprevious survey.
When asked the reasons for having confidence in the Bank (Chart 20), "because the Bank is aneutral organization" was most frequently mentioned, followed by "because of the sincere
and solid impression of the Bank" and "because I support the Bank's policy." In terms of
reasons for not having confidence in the Bank (Chart 21), answers such as "because the Bank
is distant and unfamiliar" and "because I cannot understand the content and intention of theBank's policy" were frequently mentioned.
1"Do not know about the Bank's policy and operations" comprises "do not know" and "do not know
very much."
2"The Bank is related to our lives" comprises "the Bank is related to our lives" and "the Bank issomewhat related to our lives."
3"The Bank is contributing to our lives" comprises "the Bank is contributing to our lives" and "theBank is somewhat contributing to our lives."
4"The Bank's explanations to the public are not clear enough" comprises "the Bank's explanations to
the public are not clear enough" and "the Bank's explanations to the public are somewhat unclear."5"Have confidence in the Bank" comprises "have confidence in the Bank" and "have confidence in the
Bank to some extent."

Chart 18 Comprehensive Recognition and Evaluation of the Bank (Question 30)1(1)

A

Close to A

I know about the Bank's policy
and operations.

21.2 19.8

58.7(12.2)(67.8)The Bank is related to our(2)lives.
The Bank is contributing to our(3)lives.
The Bank gives clear(4)
explanations to the public.

3.9
(2.3)

(5) I have confidence in the Bank.

Neither A nor B(19.4)

I do not know about the Bank's
policy and operations.

52.8

27.2

19.6

(52.4)(26.3)(20.5)

35.1

46.7

17.7

(35.3)(45.4)(18.6)

39.4

56.5(43.4)(53.5)

32.8

55.9(34.8)(54.6)

B

Close to B

The Bank is not related to ourlives.
The Bank is not contributing to
our lives.
The Bank's explanations to the
public are not clear enough.
I do not have confidence in theBank.

10.9 (9.9)

0%
20%
40%
60%
80%
100%
Note: 1. Figures in parentheses represent results of the previous survey (December 2005).

15

Chart 19 Reasons Why the Bank's Explanations Are Unclear (Question 30-(a))1
49.2
51.8
51.7
47.2
45.5
47.0

Lack of basic knowledge about the Bank.
Have never had the opportunity to read or hear the Bank's
explanations.
36.9

Have difficulty understanding the mechanism of the financial
system and the economy rather than the Bank itself.

30.0
30.0
31.3
26.0
25.4

Terms used in the Bank's explanations are too technical anddifficult.
Do not know where to look in order to obtain information about
the Bank.

19.9
22.0
0.8
0.6
0.8
2.2
2.4
1.9

June 2005
December 2005
March 2006
60%

50%

40%

30%

20%

10%

The Bank's web site is inconvenient.
Other.

0%Note: 1. Up to two answers were allowed.

Chart 20 Reasons for Having Confidence in the Bank (Question 30-(b))1
56.9

50.8
51.1

Because the Bank is a neutral organization.
33.0
32.2
32.6
33.4
33.2
32.0

Because of the sincere and solid impression of the Bank.
Because I support the Bank's policy.
4.7
5.2
7.4
7.3
5.2
6.5
2.5
1.6
1.9
7.4
10.1
7.7

June 2005
December 2005
March 2006
60%

50%

40%

30%

20%

10%

Because I understand the content and intention of the Bank's
policy well.
Because the Bank is active.
Because the Bank's staff members are kind and pleasant.
Other.
0%Note: 1. Up to two answers were allowed.

Chart 21 Reasons for Not Having Confidence in the Bank (Question 30-(c))1
73.7

65.3
60.9

65.5

Because the Bank is distant and unfamiliar.

57.7
57.9

Because I cannot understand the content and intention of theBank's policy.
7.7
11.4
7.7
8.1
5.9
4.6
4.1
3.5
2.1
4.1
2.5
2.1
9.9
9.9
5.2

June 2005
December 2005
March 2006
80%

60%

40%

20%

Because the Bank is not active.
Because the Bank seems to be undependable.
Because the Bank's staff members are inhospitable andunpleasant.
Because I am against the Bank's policy.
Other.
0%Note: 1. Up to two answers were allowed.

16

IV. Distribution of Aggregated Sample Population by Category
25th round of
the survey(March 2006)1

Population of
the survey1,2

(B)

(A)

Difference
between (A)and (B)3

Samples(reference)1(A) - (B)By sex
Male

49.9

48.4

1.5

50.7

Female

50.1

51.6

-1.5

49.3

20–29

11.3

15.6

-4.3

15.5

30–39

16.9

18.0

-1.1

18.2

40–49

17.8

15.2

2.6

16.4

50–59

22.1

18.5

3.6

20.2

60–69

18.7

15.5

3.2

16.2

70–

13.3

17.3

-4.0

14.1

Hokkaido

4.2

4.5

-0.3

4.5

Tohoku

7.9

7.6

0.3

7.5

Kanto

29.0

32.5

-3.5

32.2

Hokuriku

5.7

4.4

1.3

4.5

Chubu

16.1

13.9

2.1

14.6

Kinki

15.1

16.2

-1.2

16.5

Chugoku

6.7

6.0

0.7

5.6

Shikoku

3.2

3.3

-0.1

3.4

Kyushu

12.2

11.5

0.7

11.2

By ageBy region

Notes: 1. Percent.
2. Based on the population of municipalities recorded in the Basic Resident
Registers as of March 31, 2005.
3. Percentage points.

17

V. Complete Questionnaire and Results
Bold numbers refer to the rate of responses for each menu of choices against total respondents
for each question (percent; the second decimal place is rounded off1,2).
1

Because of rounding, response ratios do not necessarily add up to 100 percent even for questions thatallow for only one choice.
2
Figures in parentheses represent results of the previous survey (December 2005).

Question 1
In your opinion, has the Japanese economy been improving or worsening compared with one year
ago? (Choose one answer.)(a) Improving.
22.0 ( 19.2 )(b) Remaining the same.
61.9 ( 59.4 )(c) Worsening.
15.9 ( 21.4 )Question 2
With regard to Question 1, what makes you think so? (Choose up to two answers.)(a) Media reports.
27.2 ( 27.0 )(b) Economic indicators and statistics.
11.6 ( 11.8 )(c) Business performance of the company I work for, or of my35.5 ( 34.4 )own company.
(d) Income level for myself or other family members.
40.6 ( 38.6 )(e) Bustle of shopping streets and amusement quarters.
27.7 ( 28.2 )(f) No reason in particular.
18.3 ( 19.0 )(g) Other.
3.3 ( 2.7 )Question 3
How do you foresee economic conditions one year from now? (Choose one answer.)(a) Will improve.
18.1 ( 18.0 )(b) Will remain the same.
68.4 ( 65.0 )(c) Will worsen.
13.1 ( 16.6 )Question 4
What do you think about the current interest rate level? (Choose up to two answers.)(a) I hope it will stimulate business activity and thereby lead to an
49.9 ( 42.3 )economic recovery.
(b) Even at the current level, we cannot expect an economic
29.1 ( 33.7 )recovery.
(c) It has negatively affected my household due to the small
52.0 ( 53.5 )amount of interest income on deposits and others.
(d) I don't have many complaints because stable prices secure
11.4 ( 10.3 )principal of deposit even though interest income is small.
(e) Low interest rates are helpful in alleviating the financial
13.1 ( 11.6 )burden because I am planning to apply for, or repay, a housing
loan.
(f) Other.
3.6 ( 3.3 )18

Question 5
How has your income (or other family members' income) changed from one year ago? (Choose
one answer.)(a) Has increased.
9.2 ( 7.2 )(b) Has remained the same.
54.7 ( 53.9 )(c) Has decreased.
36.1 ( 38.8 )Question 6
What do you expect your income (or other family members' income) will be one year from now?
(Choose one answer.)(a) Will increase.
8.4 ( 6.8 )(b) Will remain the same.
59.2 ( 57.7 )(c) Will decrease.
32.2 ( 35.4 )Question 7
How have you (or other family members) changed spending patterns compared with one year
ago? (Choose one answer.)(a) Have increased.
9.9 ( 7.1 )(b) Have neither increased nor decreased.
53.2 ( 53.5 )(c) Have decreased.
36.9 ( 39.3 )If you chose (a) in Question 7, please answer Question 7-(a). If you chose (c), please answer
Question 7-(b). Otherwise, please skip questions 7-(a) and 7-(b) and go on to Question 8.

Question 7-(a)Why have you increased your (or other family members') spending? (Choose all applicableanswers.)(a) Because my income has increased.
19.3 ( 12.4 )(b) Because my income is likely to increase in the future.
5.1 ( 4.8 )(c) Because tax cuts and other factors have lessened the household
4.0 ( 3.4 )budget burden.
(d) Because pension and social security payments are expected to
4.5 ( 3.4 )increase.
(e) Because of the asset value of real estate purchased, for
1.1 ( 0.7 )example a house, has increased in value.
(f) Because the value of purchased financial assets such as stocks
4.5 ( 2.8 )and bonds has increased.
(g) Because loan payment amounts have decreased due to low
0.6 ( 1.4 )interest rates.
(h) Because I decided not to buy a house (or else postponed plans).
1.1 (
- )
(i)
Because there are goods and services I want to purchase.
35.2 ( 29.7 )(j)Because I made a big purchase in the past twelve months.
52.3 ( 61.4 )(k) No reason in particular.
11.9 ( 11.7 )19

Question 7-(b)Why have you decreased your (or other family members') spending? (Choose all applicableanswers.)(a) Because my income has not increased or has been decreasing
35.1 ( 36.5 )due to recession or restructuring.
(b) Because I fear a future job loss or decline in income.
56.3 ( 51.6 )(c) Because I fear future cuts in pension and social security
65.8 ( 62.8 )payments.
(d) Because I fear a tax increase or rise in the social security
49.5 ( 54.1 )burden in the future.
(e) Because of the asset value of real estate purchased, for
4.9 ( 4.3 )example a house, has decreased in value as I pay back housing
loans.
(f)
Because the value of purchased financial assets such as stocks
0.9 ( 1.3 )and bonds has decreased.
(g) Because interest income has decreased due to low interest
21.1 ( 19.9 )rates.
(h) Because there are only few goods or services I want to
7.2 ( 5.9 )purchase.
(i)
Because there happened to be no big purchases during the past
4.9 ( 5.1 )twelve months.
(j)No reason in particular.
2.4 ( 3.6 )(For all respondents.)

Question 8
Spending is divided into two categories, as shown below. Please select the best description ofyour spending attitude from (a) to (e) for each category of spending. (Choose one answer for eachcategory.)
Category 1. Everyday spending such as on living and educational expenses
Category 2. Selective spending such as on hobby and leisure activities (spending other thancategory 1)
Category 1
(a)
(b)
(c)
(d)
(e)

Have decreased spending.
Have unintentionally decreased spending.
Unchanged.
Have unwillingly increased spending.
Have increased spending.

21.1
22.8
37.8
16.7
1.4

( 23.5 )( 23.3 )( 37.1 )( 14.7 )( 0.8 )

Category 2

29.2
32.3
29.9
5.2
3.2

( 30.8 )( 32.2 )( 29.3 )( 5.0 )
( 2.3 )

Question 9
Do you plan to increase or decrease your spending within the next twelve months? (Choose one
answer.)(a) Will increase.
3.0 ( 2.0 )(b) Will neither increase nor decrease.
56.9 ( 58.5 )(c) Will decrease.
39.9 ( 39.4 )20

Question 10
What will be your incentive to spend? (Choose all applicable answers.)(a) Income tax cut.
(b) Tax incentive measures for those with housing or educationloans.
(c) Dispelled fears of unemployment or an income decline.
(d) Improvement in the soundness of the financial system.
(e) Presentation of specific examples of pension system and fiscal
policy reform that clarify future public burden.
(f)
Dispelled life-after-retirement concerns through expansion of
the nursing care system; for example, creation of a publicly
financed nursing program.
(g) Rise in interest rates on deposits.
(h) Increased asset value of stocks and bonds purchased.3(i)
Rise in prices.
(j)
Other.

47.5 ( 46.0 )16.4 ( 15.7 )46.3 ( 46.6 )13.1 ( 12.2 )41.0 ( 45.3 )41.4 ( 45.1 )
37.3
8.6
6.8
3.5

( 35.5 )( 8.4 )
( 6.4 )
( 3.8 )

Question 11
Which of the following best describes your spending attitude? (Choose up to two answers.)(a) Basically, I spend more if my income increases.
61.7 ( 59.4 )(b) It depends more on whether there is greater uncertainty over
43.5 ( 44.0 )the future income level rather than the current level.
(c) It depends on the forecast for developments in prices of goods
10.1 ( 9.2 )and costs of services.
(d) It depends on real estate price developments because I own a
2.6 ( 3.2 )house and/or other real estate.
(e) It depends on stock price developments because I have stocks
3.7 ( 3.2 )and/or investment trusts.
(f) It is affected by tax and social insurance premiums because
43.3 ( 43.0 )they decrease/increase my actual income.
(g) It depends on whether there are goods and services I want to13.6 ( 10.9 )purchase.

Question 12
How do you think prices1 have changed compared with one year ago? (Choose one answer.)(a) Have gone down significantly.
1.1 ( 1.2 )(b) Have gone down slightly.
12.2 ( 15.8 )(c) Have remained almost unchanged.
57.1 ( 56.7 )(d) Have gone up slightly.
26.0 ( 23.4 )(e) Have gone up significantly.
3.4 ( 2.6 )Note: 1. They are defined as overall prices of goods and services you purchase (hereafter the same).

If you chose (a) or (b) in Question 12, please answer Question 12-(a). If you chose (d) or (e),please answer Question 12-(b). For remaining respondents, please skip questions 12-(a) and12-(b) and go on to Question 13.

Question 12-(a)What is your opinion of the price decline? (Choose one answer.)(a) Rather favorable.
(b) Rather unfavorable.
(c) Neither favorable nor unfavorable.

21

58.3 ( 51.2 )15.7 ( 19.9 )25.5 ( 28.9 )Question 12-(b)What is your opinion of the price rise? (Choose one answer.)(a) Rather favorable.
(b) Rather unfavorable.
(c) Neither favorable nor unfavorable.

3.6 ( 3.0 )78.5 ( 79.4 )17.6 ( 17.6 )(For all respondents.)

Question 13
By what percent do you think the prices have gone up or down compared with one year ago?
Please fill in the appropriate box below with a specific figure. If you think that they have beenunchanged, please put a "0" in either box.
gone up about
percent.
Compared with one year ago, the prices havegone down about
percent.
Average1: 1.2 (0.8) percent
Median2: 0.0 (0.0) percent
Notes: 1. Calculated by excluding 0.5 percent of the highest and the lowest figures, respectively, in order toavoid extremes (the simple average is 1.3 percent). (The simple average of the last survey was
0.8 percent.)
2. The number that appears in the middle when the answers are listed in numerical order.

Question 14
In which direction do you think prices will move one year from now? (Choose one answer.)(a) Will go down significantly.
0.2 ( 0.2 )(b) Will go down slightly.
5.4 ( 6.0 )(c) Will remain almost unchanged.
48.1 ( 46.4 )(d) Will go up slightly.
43.5 ( 44.3 )(e) Will go up significantly.
2.4 ( 2.4 )Question 15
By what percent do you think the prices will go up or down one year from now? Please fill in theappropriate box below with a specific figure. If you think that they will be unchanged, please put
a "0" in either box.
go up

percent

go down

percent

The prices one year from now willcompared with the present.

Average1: 2.1 (2.2) percent
Median2: 0.0 (0.0) percent
Notes: 1. Calculated by excluding 0.5 percent of the highest and the lowest figures, respectively, in order toavoid extremes (the simple average is 2.1 percent). (The simple average of the last survey was
2.3 percent.)
2. The number that appears in the middle when the answers are listed in numerical order.

22

Question 16
In which direction do you think the prices will move over the next five years? (Choose one
answer.)(a) Will go down significantly.
0.3 ( 0.3 )(b) Will go down slightly.
6.2 ( 7.1 )(c) Will remain almost unchanged.
24.7 ( 24.5 )(d) Will go up slightly.
57.0 ( 54.8 )(e) Will go up significantly.
10.5 ( 11.6 )Question 17
By what percent do you think the prices will go up or down per year on average over the next five
years? Please fill in the appropriate box below with a specific figure. If you think that they will
be unchanged, please put a "0" in either box.
go up

percent

go down

percent

The prices will

per year on average over the next five years.

Average1: 2.3 (2.4) percent
Median2: 1.0 (1.0) percent
Notes: 1. Calculated by excluding 0.5 percent of the highest and the lowest figures, respectively, in order toavoid extremes (the simple average is 2.3 percent). (The simple average of the last survey was
2.5 percent.)
2. The number that appears in the middle when the answers are listed in numerical order.

Question 18
What do you foresee as the future development in land prices? (Choose one answer.)(a) Will rise.
16.8 ( 16.8 )(b) Will remain at about the current level for some time.
56.5 ( 56.9 )(c) Will drop.
12.3 ( 13.6 )(d) Don't know.
14.3 ( 12.6 )Question 19
What do you think about your household circumstances compared with one year ago? (Choose
one answer.)(a) Have become somewhat better off.
7.6 ( 6.6 )(b) Have become somewhat worse off.
44.8 ( 48.3 )(c) Difficult to say.
47.6 ( 45.0 )If you chose (a) in Question 19, please answer Question 19-(a). If you chose (b), pleaseanswer Question 19-(b). For remaining respondents, please skip questions 19-(a) and 19-(b)and go on to Question 20.

23

Question 19-(a)Why do you think your household circumstances have become better off? (Choose all applicableanswers.)(a) Regular income, for example salary, has increased.
51.9 ( 51.9 )(b) Other income such as interest income has increased.
3.7 ( 1.5 )(c) Gained special income from sales of real estate such as land
0.7 ( 0.7 )and houses.
(d) Abandoned or postponed plans to purchase a house.
0.7 ( 0.7 )(e) Prices have declined or remained stable.
14.1 ( 14.8 )(f) The value of assets held such as stocks and real estate has
9.6 ( 8.9 )increased.
(g) The number of dependents in my family has decreased.
21.5 ( 27.4 )(h) Other.
23.0 ( 19.3 )Question 19-(b)Why do you think your household circumstances have become worse off? (Choose all applicableanswers.)(a) Regular income, for example salary, has decreased.
67.8 ( 66.8 )(b) Other income such as interest income has decreased.
14.6 ( 17.9 )(c) Purchased or plan to purchase real estate such as land and6.9 ( 8.0 )houses.
(d) Prices have increased.
26.5 ( 23.1 )(e) The value of assets held such as stocks and real estate has
3.4 ( 3.3 )declined.
(f) The number of dependents in my family has increased.
10.8 ( 12.5 )(g) Other.
23.8 ( 22.7 )(For all respondents.)
Question 20
How do you view the Japanese economy's growth potential? (Choose one answer.)(a) Has potential to grow in the long run, though there may be a22.3 ( 21.8 )temporary slowdown.
(b) Is unlikely to grow in the long run.
52.1 ( 54.0 )(c) Cannot say.
25.4 ( 24.0 )Question 21
In the past year, has the company you (or other family members) work for taken or planned to takerestructuring measures related to salary payments and employment? (Choose one answer.)(a) Yes.
22.9 ( 25.1 )(b) No, but it has been planning to do so in the future.
10.9 ( 11.5 )(c) No, and it seems there is no plan to do so.
29.9 ( 30.3 )(d) Don't know.
35.9 ( 32.5 )If you chose (a) or (b) in Question 21, please answer Question 21-(a). Otherwise, please skip
Question 21-(a) and go on to Question 22.

24

Question 21-(a)Specifically, what kind of restructuring measures were taken or are to be taken by the company
for which you (or other family members) work? (Choose all applicable answers.)(a) Cut in overtime work.
30.5 ( 33.2 )(b) Cut in salary and review of the wage system.
61.7 ( 61.6 )(c) Restrained recruiting of new graduates.
17.5 ( 17.5 )(d) Reduction in personnel through dispatching them to other30.3 ( 30.4 )companies and encouraging early retirement.
(e) Reduction in job positions, as well as organizational reform.
21.0 ( 21.8 )(f) Review of personnel or qualification system.
21.3 ( 21.7 )(g) Introduction of worksharing.
5.0 ( 4.6 )(h) Other.
8.0 ( 5.5 )(i) Restructuring is planned but don't know the details.
6.3 ( 6.2 )(For all respondents.)
Question 22
Are you worried about your (or other family members') employment or work arrangements (pay,job position, and benefits) at the current workplace? (Choose one answer.)
All respondents
(a)
(b)
(c)
(d)

Not particularly worried.
Slightly worried.
Quite worried.
Has no relevance to me or my family.

18.3
41.7
23.9
15.7

( 15.4 )( 43.1 )( 23.4 )( 17.4 )Note: 1. Workers are company employees, civil servants, other types of employees, orWorkers1

19.2
49.2
27.9
3.6

( 17.4 )( 51.5 )( 27.3 )( 3.8 )
part-timers.

Question 23
Are you (or other family members) thinking of looking for a new job or otherwise re-entering theworkforce? (Choose one answer.)(a) Yes.
33.4 ( 32.6 )(b) No.
66.6 ( 67.1 )If you chose (a) in Question 23, please answer Question 23-(a). Otherwise, please skip
Question 23-(a) and go on to Question 24.

Question 23-(a)Are you (or other family members) worried about looking for a new job or re-entering theworkforce? (Choose one answer.)(a) Not particularly worried.
7.8 ( 10.0 )(b) Slightly worried.
45.0 ( 41.8 )(c) Quite worried.
47.2 ( 48.2 )(For all respondents.)
Question 24
Do you have any concrete plans to purchase a house, or sell your current house and buy another?
(Choose one answer.)(a) No such plans at present.
92.3 ( 92.9 )(b) Plan to purchase a house for the first time.
4.0 ( 3.2 )(c) Plan to sell a house and buy another.
2.9 ( 3.0 )(d) Plan to buy a second house.
0.6 ( 0.6 )25

Question 25
Are you repaying loans such as a housing or consumer loan? (Choose one answer.)(a) Yes.
36.0 ( 33.2 )(b) No.
63.9 ( 66.5 )Questions 26 to 31 ask about your knowledge of the Bank of Japan (hereafter "the Bank").

(For all respondents.)
Question 26
The following three items are explanations of price stability, which is one of the two objectivesof the Bank. Please choose the most applicable level of your knowledge relative to these items.
(Choose one answer for each.)(a) Have knowledge of it.
(b) Have heard of it, but do not have detailed knowledge.
(c) Have never heard of it.
(a)
(b)
(c)
One objective of the Bank is to maintain price
24.8
39.5
35.6
(1)
(25.3) (39.0) (35.3)
stability.
With regard to current monetary policy, the Bank
conducts a so-called "quantitative easing policy," in
16.6
36.2
47.0
(2) which current account balances at the Bank rather than
(15.3) (34.9) (49.4)
interest rates are adopted as the Bank's main operatingtarget.
The Bank is committed to continuing the quantitativeeasing policy until the year-on-year rate of change in the
8.1
28.0
63.6
(3) consumer price index (excluding fresh food, on a
( 6.4) (28.3) (64.8)
nationwide basis) registers zero percent or higher on asustainable basis.

Question 27
The following four items are explanations of financial system stability, which is one of thetwo objectives of the Bank. Please choose the most applicable level of your knowledge
relative to these items. (Choose one answer for each.)(a) Have knowledge of it.
(b) Have heard of it, but do not have detailed knowledge.
(c) Have never heard of it.
(a)
(1)

(2)

(3)
(4)

One objective of the Bank is to maintain financial
system stability.
The Bank provides safe settlement instruments with thehighest settlement finality, such as banknotes andcurrent accounts at the Bank, and operates its own
funds transfer system and settlement system forJapanese government bonds.
The Bank can extend loans such as special loans tofinancial institutions in order to ensure financial systemstability.
The Bank conducts on-site examinations and visits tofinancial institutions.

26

(b)

(c)

36.4
37.3
26.0
(35.5) (35.7) (28.5)
26.2
39.7
33.7
(25.2) (38.9) (35.5)
28.2
38.2
33.3
(27.0) (36.5) (36.1)
19.2
35.1
45.4
(22.4) (32.3) (44.9)

Question 28
Please describe how steadily the new series of Bank of Japan notes issued in November 2004 has
become widely used in your daily life. (Choose one answer.)(a) Has become widely used.
52.9 ( 56.3 )(b) Has generally become widely used.
24.6 ( 24.8 )(c) Cannot say.
16.5 ( 13.8 )(d) Has not generally become widely used.
3.1 ( 2.8 )(e) Has not become widely used.
2.4 ( 2.2 )If you chose (d) or (e) in Question 28, please answer Question 28-(a). Otherwise, please skip
Question 28-(a) and go on to Question 29.

Question 28-(a)Why do you think that the new series of Bank of Japan notes has not become widely used in yourdaily life? (Choose up to two answers.)(a) Because there are few chances to receive it as change.
56.7 ( 55.9 )(b) Because there are few chances to receive it at automated teller
40.2 ( 32.4 )machines (ATMs) upon withdrawal.
(c) Because there are few vending machines that accept it.
30.9 ( 26.5 )(d) Because old banknotes are still familiar.
16.5 ( 17.6 )(e) Other.
12.4 ( 9.8 )(For all respondents.)
Question 29
How do you view the condition of the new series of Bank of Japan notes that you use in your daily
life? (Choose one answer. This question is new to the survey.)(a) Is becoming worn.
(b) Is becoming somewhat worn.
(c) Cannot say.
(d) Is relatively clean.
(e) Is clean.
(a)
(b)
(c)
(d)
(e)
(1) 10,000 yen note
1.5
7.8
20.4
49.4
20.8
(2) 5,000 yen note
2.7
11.3
25.6
43.9
16.5
(3) 1,000 yen note
10.7
24.4
27.9
28.9
8.0

27

Question 30
The following table indicates five pairs of contrasting views on the Bank. Toward which end, Aor B, is your view closer? (Choose one answer for each pair.)(a) Close to A.
(b) Somewhat closer to A.
(c) Neither A nor B.
(d) Somewhat closer to B.
(e) Close to B.
A

(a)

(b)

(c)

(d)

(e)

B

I know about the
Bank's policy andoperations.

4.2
17.0
19.8
30.6
28.1
( 1.7) (10.5) (19.4) (30.7) (37.1)

I do not know about
the Bank's policy andoperations.

The Bank is related to
our lives.
The Bank iscontributing to ourlives.

18.9
33.9
27.2
11.7
7.9
(20.3) (32.1) (26.3) (11.9) ( 8.6)
11.4
23.7
46.7
10.3
7.4
(11.1) (24.2) (45.4) (10.7) ( 7.9)

(4)

The Bank gives clear
explanations to the
public.

1.1
2.8
39.4
27.6
28.9
( 0.3) ( 2.0) (43.4) (26.0) (27.5)(5)

I have confidence in
the Bank.

13.0 19.8
55.9
7.3
3.6
(12.8) (22.0) (54.6) ( 6.1) ( 3.8)

The Bank is not
related to our lives.
The Bank is notcontributing to ourlives.
The Bank's
explanations to the
public are not clear
enough.
I do not haveconfidence in the
Bank.

(1)
(2)
(3)

If you chose (d) or (e) in Question 30-(4), please answer Question 30-(a). If you chose (a) or(b) in Question 30-(5), please answer Question 30-(b), but if you chose (d) or (e), pleaseanswer Question 30-(c). Otherwise, please skip questions 30-(a), 30-(b), and 30-(c) and go
on to Question 31.

Question 30-(a)Why do you think the Bank's explanations are unclear? (Choose up to two answers.)(a) Terms used in the Bank's explanations are too technical and25.4 ( 26.0 )difficult.
(b) Lack of basic knowledge about the Bank.
51.7 ( 51.8 )(c) Have difficulty understanding the mechanism of the financial
30.0 ( 30.0 )system and the economy rather than the Bank itself.
(d) Have never had the opportunity to read or hear the Bank's
47.0 ( 45.5 )explanations.
(e) Do not know where to look in order to obtain information
22.0 ( 19.9 )about the Bank.1(f)
The Bank's web site is inconvenient.
0.8 ( 0.6 )(g) Other.
1.9 ( 2.4 )28

Question 30-(b)Why do you have confidence in the Bank? (Choose up to two answers.)(a) Because I support the Bank's policy.
(b) Because the Bank is active.
(c) Because I understand the content and intention of the Bank's
policy well.
(d) Because the Bank is a neutral organization.
(e) Because the Bank's staff members are kind and pleasant.
(f)Because of the sincere and solid impression of the Bank.
(g) Other.

32.0 ( 33.2 )
6.5 ( 5.2 )
7.4 ( 5.2 )
56.9
1.9
32.6
7.7

( 51.1 )( 1.6 )
( 32.2 )( 10.1 )Question 30-(c)Why do you not have confidence in the Bank? (Choose up to two answers.)(a) Because I am against the Bank's policy.
2.1(b) Because the Bank is not active.
7.7(c) Because I cannot understand the content and intention of the
65.5
Bank's policy.
(d) Because the Bank is distant and unfamiliar.
73.7(e) Because the Bank's staff members are inhospitable and
2.1
unpleasant.
(f)Because the Bank seems to be undependable.
4.6(g) Other.
5.2( 2.5 )
( 11.4 )( 57.9 )( 60.9 )( 3.5 )
(
(

5.9 )
9.9 )

Question 31
Please freely give us your comments or express wishes relative to the Bank's policy and/or
operations.
(a) Offered comments.
16.9 ( 16.4 )(b) Offered no comments.
83.1 ( 83.6 )29

This last set of questions asks about you and your household. Although these include
questions of a personal nature, they are only used for analyzing the survey results and wewould be very grateful for your responses.
(For all respondents.)

Q1
Are you male or female? (Choose one answer.)(a) Male.
(b) Female.

49.9 ( 49.7 )50.1 ( 50.3 )Q2What age group are you in? (Choose one answer.)(a) 20–29.
(b) 30–39.
(c) 40–49.
(d) 50–59.
(e) 60–69.
(f)
70–.

11.3
16.9
17.8
22.1
18.7
13.3

( 10.5 )( 17.9 )( 17.9 )( 23.0 )( 17.6 )( 13.1 )Q3What is your field of occupation? (Choose one answer.)
Self-employed or working for a family business(a) Agriculture, forestry, and fisheries.
(b) Self-employed, working for a family business, or professional
worker.
All other workers(c) Company employee, civil servant, or other type of employee.
(d) Part-timer.
Unemployed(e) Full-time homemaker.
(f)Student.
(g) Pensioner.
(h) Other.

3.0 ( 2.9 )11.8 ( 13.4 )38.6 ( 36.0 )12.7 ( 14.4 )
13.4
1.8
14.6
3.8

( 13.6 )( 1.4 )
( 14.6 )( 3.1 )

Q4
How much income did you (and your partner) earn last year? (Annual income before deducting
taxes; excludes temporary income such as retirement allowance and income from land sales, but
includes pensions.) (Choose one answer.)(a) No income.
4.8 ( 5.8 )(b) Less than 3 million yen.
39.1 ( 38.5 )(c) 3 million or more but less than 5 million yen.
25.3 ( 24.9 )(d) 5 million or more but less than 10 million yen.
21.6 ( 22.0 )(e) 10 million yen or greater.
6.1 ( 4.4 )Q5How large is your family? (Choose one answer.)(a) Live by myself (single-person household).
(b) Myself and my partner (married-couple household).
(c) Nuclear family (two-generation family).
(d) Extended family (three-generation family).
(e) Other.

30

5.9
25.1
51.7
15.8
1.0

( 7.4 )
( 24.0 )( 51.2 )( 14.8 )( 1.9 )