TOKYO – Increasingly unpopular Japanese Prime Minister Taro Aso rejected calls for his resignation Tuesday, insisting that he needs to steer the world's second-largest economy out of recession.

Aso's support stands at 20 percent amid growing public frustration over his handling of the sluggish economy, but he said the nation must be patient.

"I am confident that the ruling party and I can implement effective measures to boost the economy," said Aso, who is president of the ruling Liberal Democratic Party.

Opposition lawmaker Yukio Hatoyama demanded that Aso resign and call for snap elections, which must by law take place by September.

Hatoyama, a leader of the Democratic Party of Japan, demanded that Aso scrap a plan to give a cash payout to every household, calling it "a great folly." The government hopes the cash payout, worth about $22 billion – about $700 per household of four – will spur consumer spending.

"The measure will have no economic impact. What is more, people don't even want it in the first place," Hatoyama said. "This is nothing but a waste of public money. If we can spend 2 trillion yen [$22 billion], we should use that money to help the unemployed and the elderly, and support medical expenses."

The Associated Press