Memo, whacked out early evening on March 11 (Sun) in response to query from journalist. I wonder how much of this will hold up.
So,
this Moritomo scandal. Where is it going. Aso likely to be toppled? What would
that mean for the administration and Abe’s re-election hopes? Could this spell
the end for the Teflon PM?
Things look grim for Finance Minister Aso.
More likely than not, he will resign, in which case some time will be gained to
push the Abe administration’s legislative agenda (though the key work-rule
amendment will be pushed back anyway). Beyond this Diet session, the most
important political consequences will be that first, Shinzo Abe will be
unlikely to win a third term as LDP president and remain prime minister.
Second, the headwind against Abe’s bid for constitutional amendment becomes
stronger. Perceived as a lame duck prime minister, I doubt that he will be able
to bring it to a national referendum. Let’s fill in some details.
Mr. Aso’s comments on Friday were crafted
to deny responsibility for the promotion of Mr. Sagawa, who had been the head
of the bureau in charge of the initial lease and sale of the land in question,
to the Director-General post at the National Tax Agency. This was necessary
because anything less would have immediately created irresistible pressure to
resign himself. Aso had almost certainly been unaware of the doctoring of the
document—in fact, I suspect that he was only casually aware of the case until
it surfaced in the media—but a Japanese leader is expected to fall on his/her
sword if the occasion warrants. And I think that it does in this case, where
there is a very good chance that someone in the bureaucracy will be subject to
criminal charges for an action that will be hard to explain away as being
nothing other than politically motivated.
But Aso’s resistance goes beyond his
personal interests. For if he resigns, the Abe cabinet itself will be in
danger, together with much of the momentum for its policy agenda. Unlike the
other ministers that resigned from the second Abe administration, Aso is a
political whale, the head of a major faction, a former prime minister! given
the extralegal title of deputy prime mister, and holding down the still
most-important Finance Ministry portfolio
since the beginning of Abe’s return to power. Political whales are no
longer what they used to be, but his resignation would be a much greater damage
than that of the relatively junior cabinet ministers that we have seen.
Moreover, Abe and his wife were personally
involved in the project that created that entire controversy that wound up spawning
the doctored document. The degree of their involvement is open to question, but
the other cases merely cast doubt on his judgment of character and capability.
This case had already implied the abuse of political power, of favoritism and
kowtowing. Now, the stench of fraud and criminality is threatening the
corridors of power. Pretty tame by current Brazilian or even White House
standards, but with a suicide adding spice to the story, the buck is unlikely
to stop at MOF and the MOF minister.
I do not believe that Abe will resign. He
is a stubborn man. He has a way of standing firmly behind causes that appear to
most disinterested observers as hopeless let alone his own political fate. And
I do not think that the rest of the LDP is sufficiently independent to make an
overt move to push him out. He should be able to serve out his second term.
But he no longer looks
like someone that current LDP Diet members, particularly those in their first
or second terms and those who squeak through by the regional proportional
safety-net as well as prospective candidates will be inclined to fight
elections under, even if the opposition remains divided. Thus, I do not think
that he will have the votes to prevail in a 2020 LDP leadership election, and I
think that this will become more obvious as the event draws near. As a virtual
lame-duck prime minister, he will lose so much of his political capital that he
will have extreme difficulty in bring constitutional amendment to a vote in the
Diet, let alone the national plebiscite. If he even enters into that state of
mind, the end of the Abe administration should come more quickly, possibly even
before the next Upper House election in 2019.