By Lim Chan 

Writer/Reporter 

Work can be stressful. Being a college student is no easy task either, balancing homework, midterm exams, and finals can feel overwhelming. I personally deal with stress from all directions by taking vacations and traveling far away to forget my responsibilities for a brief moment. 

I’m a huge fan of manga, anime, and Japanese culture overall. Through the manga I read and the anime I watch, I’ve discovered many places in Japan that I would love to explore. It’s no surprise that a trip to Japan is not cheap, and I thought it would take some convincing to persuade my better half to join me on this adventure. However, she was convinced by a single word: Tokyo. 

Regardless, I have gathered a financial analysis explaining why going to Japan is worth it, and I even believe that it would be financially unwise not to take a vacation there. Here is my analysis. 

USD to Yen Exchange Rate 

As of today, the exchange rate from USD to yen is 1 to 156.50, meaning that 1 U.S. dollar exchanges for 156.50 yen. In comparison, the lowest exchange rate back in 2012 was around 1 to 80, meaning 1 U.S. dollar exchanged for 80 yen. The current exchange rate is therefore almost twice as favorable for the U.S. dollar. 

Comparing the Cost of Living 

Simply comparing the exchange rate from years ago to today does not provide a conclusive reason that it is a great time to visit Japan due to the favorable rate. What if inflation from 2012 to today has risen so much that even a stronger conversion rate would not be enough to offset it? 

That is why I used another indicator, comparing the cost of living between Japan and the United States. By using a trusted website, I found that the cost of living in Tokyo is lower than in Minneapolis. To further support this comparison, I checked McDonald’s prices in both locations, and even in Tokyo, McDonald’s prices are lower than those in Minneapolis. 

The exchange rate is strongly in favor of the U.S. dollar, and no one knows how long this favorable rate will last. Therefore, I believe there is no better time to visit Japan. From a financial standpoint, it would be unwise to delay a trip until the exchange rate is no longer favorable for the U.S. dollar.