My Layman's Take On Japan's Price Hikes
Living in Japan has always felt fairly predictable when it came to everyday prices. For years, I rarely thought twice about grabbing a drink from a vending machine or picking up groceries because prices stayed remarkably stable. Lately, though, that's changed. Like many people living in Japan, I've found myself stopping to look at price tags and wondering, "Wasn't this cheaper not that long ago?"
In this episode, I share my personal observations about Japan's recent price increases and compare them with what economists, government agencies, and researchers have been reporting. I'm not trying to explain global economics—I'm simply connecting what I've experienced as a parent living in Tokyo with the data that's helping explain why everyday life feels different.
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Why Prices Feel Different
For many longtime residents, today's price increases feel especially noticeable because Japan spent decades with relatively stable prices. While inflation has become a normal part of life in many countries, Japan experienced years where the cost of everyday items changed very little.
That makes even modest inflation feel much more dramatic. Rather than noticing one major price jump, many of us experience it through dozens of smaller moments—higher grocery bills, vending machine drinks that cost a little more, or products that quietly become smaller while keeping nearly the same price.
It's those little surprises that make the changes feel much bigger than a single inflation statistic ever could.
More Than Just One Cause
One thing I found interesting while researching this episode is that there isn't a single explanation for what's happening.
The effects of the COVID-19 pandemic disrupted global supply chains, the war in Ukraine increased pressure on energy and food prices, and the weaker yen has made imported goods more expensive for Japan. On top of that, businesses have also faced higher labor, transportation, and production costs.
Rather than one event changing everything overnight, it feels like several different pressures have gradually stacked on top of each other until they've become impossible to ignore.
Seeing the Changes in Everyday Life
One reason these price increases don't feel like our imagination is because they're backed up by real data. Organizations in Japan have tracked tens of thousands of food and beverage products receiving price increases over the past several years, helping explain why the phrase 値上げラッシュ (neage rush) has become so common in the news.
You can also see the changes in everyday life. Rice prices have become a national conversation, restaurants continue adjusting menus, and many products have quietly shrunk in size while costing the same—or even more. It's not just shoppers feeling the pressure, either. Many businesses are facing the same rising costs.
Looking Ahead
I don't pretend to have all the answers when it comes to economics. This episode is simply my attempt to connect what I've experienced living in Tokyo with the research explaining why so many people in Japan feel like everyday life has become more expensive.
If you've been living in Japan for a while, I'm curious whether you've noticed the same changes. Have rising prices changed your shopping habits, or have there been certain products that surprised you the most? I'd love to hear about your experience.