Economy 52,861 Posted November 4, 2014 Share Posted November 4, 2014 http://www.latimes.com/business/hiltzik/la-fi-mh-is-the-us-economy-in-a-permanent-slump-20141103-column.html "Economic growth missed forecasts but expected to pick up next year" is a phrase we been hearing year after year since the financial crisis. A real solid recovery seems just around the corner but always fails to take place. Instead economic growth stays stuck at 2% to 2.5% each year It may in fact be possible that we may finally get some stronger growth temporarily given cheaper energy and the correction of some imbalances. But several economists are getting together giving root causes as to why the economy may remain weak and in a slump indefinitely unless something is done- Birth rates keep dropping and population keeps aging. A smaller and smaller percentage of the population is working and productivity is finding it hard to grow. People refuse the idea of raising retirement age - Governments have overspent so much. With debts of over 100% of GDP in many developed Nations, the pressure of interest payements will be a chronic problem for a long time - investment in infrastructure and education by the US and many other Nations has fallen as a % of GDP. Instead more money is being spent in entitlements and social security programs, and in the case of the US, Military. - Corporations refuse to bring back cash thats piling up overseas. If they bring it back, taxes are high... And the money they do keep, there is a lot of regulation over how they can invest. Big companies have little incentive to make major investments The article also Notes Europe is likely to be the biggest stagnator. The US almost as bad tho. The article doesnt mention Japan but these issues are worse in Japan than anywhere else. Link to post Share on other sites More sharing options...
TroubleClef 0 Posted November 4, 2014 Share Posted November 4, 2014 This is depressing. PERMABAN Just Kidding Link to post Share on other sites More sharing options...
Fernando 9 Posted November 4, 2014 Share Posted November 4, 2014 I wonder how tragic things r going to be when it comes the time for me to retire Link to post Share on other sites More sharing options...
EXCXSXE 0 Posted November 4, 2014 Share Posted November 4, 2014 Fun fact about the birth rate in Japan: adult diapers outsell infants! Link to post Share on other sites More sharing options...
Economy 52,861 Posted November 4, 2014 Author Share Posted November 4, 2014 Fun fact about the birth rate in Japan: adult diapers outsell infants!i believe it. Their demographics are really really bad Most developed Nations have aging population and low birth rate problems.... But because Japan never accepted as many immigrants as North America even Europe, its even worse for them. Immigrants helped soften the blow to demographics to a degree although they dont solve the issue entirally Link to post Share on other sites More sharing options...
EXCXSXE 0 Posted November 4, 2014 Share Posted November 4, 2014 i believe it. Their demographics are really really bad Most developed Nations have aging population and low birth rate problems.... But because Japan never accepted as many immigrants as North America even Europe, its even worse for them. Immigrants helped soften the blow to demographics to a degree although they dont solve the issue entirally I didn't know that about immigrants! Very interesting. :-) Link to post Share on other sites More sharing options...
Economy 52,861 Posted November 4, 2014 Author Share Posted November 4, 2014 I didn't know that about immigrants! Very interesting. :-) well yeah. Ur nit gonna accept a bounch of 70 year old immigrants Its easier for an educated 30 year old to immigrate than a 60 year old that just wants to move in with the family So they do help demographics a little Link to post Share on other sites More sharing options...
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