The article describes how Japanese companies are building up retained earnings and presents the reasons for the argument that criticism calling for funds to be directed toward wage increases and capital investment is misplaced.
The article discusses the current situation in which Japanese companies are increasing retained earnings. It introduces the background to companies accumulating profits as retained earnings and the context of the debate over how those funds should be used.
It then organizes the premises and issues behind the criticism that the funds should be directed toward wage increases and capital investment, and explains why that criticism is viewed as “misplaced.” The article outlines views on the current allocation of funds and the logic of the counterargument.