The Diet of Japan is now in session. It started from January 20. The Japanese Government and LDP (Liberal Democratic Party) as the ruling party have many difficult problems.
The First Koizumi Cabinet started at April 26, 2001. The administration of Prime Minister Koizumi will be finished at this September, and maybe it's lucky for him.
The most important problem is the affair of Livedoor. Livedoor is the IT (information technology) company, but it's said that Mr.Horie, who is a boss, has maneuvered the system of Japanese stock prices illegally.
LDP supported Mr.Horie in the general election of the last summer. And after that LDP has a good relation with him. But now Mr.Horie will become an offender.
Prime Minister Koizumi and Mr.Takenaka, who is an aide of Prime Minister, have gone ahead with reform of the structure of Japanese society. That's relaxation of regulation.
Reform was also done in the Japanese stock market. Mr.Horie has used this change cleverly, but it was illegal. Japanese people aren't used to a stock market. They prefer savings.
Prime Minister Koizumi has thought that money should flow from savings to stocks. Exactly Japanese people have wanted the change of Japanese society, but politics are not so easy.