Japan PM contender Koizumi vows wage hikes to counter inflation

Shinjiro Koizumi, launching a bid to become Japan's next prime minister, pledged on Saturday to focus on revitalising the economy by boosting wages and productivity to counter rising prices. Koizumi, seen as a frontrunner in the ruling party's leadership race, said Japan must shift the focus of economic policy from beating deflation to one better suited to an era of inflation. "Japan's economy is in a transition phase from deflation to inflation," Koizumi told a news conference announcing his bid for president of the Liberal Democratic Party. "We must have wage growth accelerate at a pace exceeding inflation, so consumption becomes a driver of growth," Koizumi said, adding that the economy would be his policy priority. On monetary policy, Koizumi...