1. 21 1. 20 1. 15 1. 10 age 65 - 69 70 - 74 75 - 79 age 65 - 69 70 - 74 75 - 79 notes : 1. see toshitaka sekine, " does demography really matter?, " presentation at the g20 symposium titled " for a better future : demographic changes and macroeconomic challenges, " 2019. notes : 2. in the left chart, average walking speed is the arithmetic average of men's and women's walking speeds. sources : national center for geriatrics and gerontology ; ministry of health, labour and welfare. chart 13 i. achievements and changes labor - saving investment increase in software investment in labor - intensive industries rise in labor productivity fy 2005 = 100 all industries construction retailing accomodations, eating and drinking services s. a., average from cy 1980 onward = 100 fy 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 cy 85 notes : 1. in the left chart, figures for software investment for fiscal 2019 are based on the investment plans in the june 2019 survey. notes : 2. in the right chart, labor productivity = ( operating profits + personnel expenses + depreciation expenses ) / number of workers / gdp deflator sources : ministry of finance ; cabinet office ; bank of japan. chart 14 i. achievements and changes firms'positive initiatives firms'entry rate number of m & as 2, 500 number of m & as tril. yen % total value ( right scale ) 2, 000 number of m & as ( left scale ) 1, 500 1, 000 employment insurance basis ( fy ) business establishments basis ( cy ) incorporation registration basis ( cy ) 16 - 18 14 - 16 12 - 14 09 - 12 06 - 09 04 - 06 01 - 04 99 - 01 96 - 99 94 - 96 91 - 94 89 - 91 86 - 89 cy 07 08 09 10 11 12 13 14 15 16 17 18 19 81 - 86 notes : 1. in the left chart, figures include only m & as in which japanese firms are acquirers. figures for the first half of 2019 are actual while those for the second half are estimated assuming that the year - on - year growth rates are the same as those for the first half. notes : 2. in the right chart, for figures based on employment insurance, entry rate = number of business establishments newly covered by employment insurance / number of business establishments covered by employment

##butable to the effects produced by successive monetary easing measures implemented before the introduction of qqe. in any case, it seems that the implementation of a large - scale monetary easing and a commitment to continuing with it as long as it is necessary for maintaining the 2 percent price stability target in a stable manner are underpinning the improvement in economic activity and prices. bis central bankers ’ speeches a final assessment of the effects of qqe on economic activity and prices can be made only after it is lifted, but i would like to explain at this point my empirical analysis on the effects of the quantitative easing ( qe ) policy – adopted by the bank during 2001 – 06 – on the macroeconomy. 5 the result, although tentative, showed that the qe policy had a certain effect on economic activity ( production ), and that a transmission channel through asset prices – namely, stock prices and foreign exchange rates – had been working. the qe policy ’ s effect on prices, however, was not as clear as that on economic activity. one possible way of interpreting this result is that prices had been less responsive to an improvement in economic activity brought about by the policy – that is, a slope of the phillips curve had been relatively flat during the period of quantitative easing. therefore, i think that the key issue is whether qqe will make the phillips curve steeper than before or shift the entire curve upward in line with the mechanism i explained earlier. as i mentioned, inflation expectations could be more forward looking in the current phase of economic recovery that is led mainly by private consumption. initiatives taken by the government and the corporate sector to achieve economic growth are likely to strengthen such effects by enhancing confidence in sustainable improvement in economic activity. i will continue to carefully examine efforts made by each economic entity as well as future developments in the phillips curve to see if there is any progress in terms of a change in the slope or an upward shift. 2. communication regarding the conduct of monetary policy central banks in advanced economies are making efforts to increase transparency, aiming at appropriate communication to the public regarding their policy conduct. specifically, such efforts include the following. first, clarifying the policy target by, for example, using numerical expressions. second, explaining the outlook for economic activity and associated risks, which form the basis for policy decisions. third, making public the process of policy formulation through release of the minutes of policy meetings and through press conferences. and fourth, communicating to the public, as necessary,