Abe: "JAPAN Is In Slow DEATH"

[Economy 53,090]

http://www.wsj.com/articles/japans-economic-dilemma-comfortable-decline-or-painful-revival-1417640405

 

Japans Prime Minister is urgently pleading that the population accept his agressive changes to try and revive the dying economy before it has a hear attack (ak: collpase). Japans situation is dire but nothing new

 

- Japan has by far the biggest debt burden in the world at 230% of GDP

- Nearly 50% of Government revenue is borrowed money

- Has one of the worst if not worst demographics in the world and population keeps aging and shrinking

- Economic growth has been stagnant for 25 years

- Japan has been using desperate monetary policies such as Quantitative Easing (which Japan invented) since 2001

 

 

 

Abe Warns that if Japan does not make some drastic reforms in spending, immigration, deregulation, and most importantly in the pension system Japan will just keep sinking deeper and deeper

[HANZ 4,380]

out of all the ****ty countries out there, it's the flawless Japan the one dying

 

 

 

[Katsuki Bakugo 9,788]

out of all the ****ty countries out there, it's the flawless Japan the one dying

 

 

 

Why he doesn't draw upon the Hello Kitty funds I don't know...

[The Professor 1,060]

Japan really needs immigrants to combat their aging population. I think an influx of new workers + families would do them good and lead to at least modest growth

[HANZ 4,380]

Japan really needs immigrants to combat their aging population. I think an influx of new workers + families would do them good and lead to at least modest growth

they are not "racist" but they are scared that a massive amount of immigrants from different societies would change/ affect their way of life and their own and unique society

[politicqxs 358]

Nothing has been slower than their stagnation..

[Economy 53,090]

Japan really needs immigrants to combat their aging population. I think an influx of new workers + families would do them good and lead to at least modest growth

that would help

 

Abe also wants to raise retirement age and in their case they really nees it

 

Abe also wants to allow more forein temporary workers. A move that usually kills jobs but in their case with so many ppl past working age they may need it

 

Also only 57% of women work in Japan I think was the number and thats not helping. Women need to be encouraged to work  

[Economy 53,090]

Nothing has been slower than their stagnation..

for 25 years

 

before i was born  

[Luc 4,776]

Japan really needs immigrants to combat their aging population. I think an influx of new workers + families would do them good and lead to at least modest growth

Japan and South Korea are special cases in this.. They look upon the Chinese, and have a very very homogenous society with values that are strange to other cultures. It's very hard for most of them to accept a 'different' person into society and it's very hard as an outsider to fit in... I haven't been to Japan but I can remember in South Korea only tourists and English teachers were foreigners, and other than that it's very important to see how structure, togetherness and sense of achievement is important for most.

What Japan needs to do is to increase the labour force and to make their labour force more productive. Japanese might work a lot in hours, but are not productive at all when it comes to making a decision for example. That needs structural change. As in productivity purely in money per hours, they are productive but if you look at what many actually do it's not productive at all. Also, labour force needs to be expanded towards more women, for example by having free public child daycare, so that both parents can go to work. 

[Economy 53,090]

Japan and South Korea are special cases in this.. They look upon the Chinese, and have a very very homogenous society with values that are strange to other cultures. It's very hard for most of them to accept a 'different' person into society and it's very hard as an outsider to fit in... I haven't been to Japan but I can remember in South Korea only tourists and English teachers were foreigners, and other than that it's very important to see how structure, togetherness and sense of achievement is important for most.

What Japan needs to do is to increase the labour force and to make their labour force more productive. Japanese might work a lot in hours, but are not productive at all when it comes to making a decision for example. That needs structural change. As in productivity purely in money per hours, they are productive but if you look at what many actually do it's not productive at all. Also, labour force needs to be expanded towards more women, for example by having free public child daycare, so that both parents can go to work. 

raising retirement age + getting more women to work there is a must!!!

 

a lot of other reforms are needed

 

mandates for corporatioms to keep a big portion of cash reserves in safe investments such as Government Bonds may give Japan rediculously low interest rates not found anywhere in the world preventing a meltdown.... But its also preventing investment as so much cash is forced into financing their Government and not invested

 

A debt ratio of 230% would of crushed any other Nation tho. But with Government bonds yielding 0.7%, a financial meltdown has thus far been averted

 

i wonder if economic growth raising interest rates could intern implode Japan right back down

 

 

Japan is in tough trouble. Do nothing and they will uktimately be doomed... Do something and you MAY still be dommed. Thats what happens when u dont deal with issues early on and instead kick the can down the road and let issue get worse  

[Luc 4,776]

raising retirement age + getting more women to work there is a must!!!

 

a lot of other reforms are needed

 

mandates for corporatioms to keep a big portion of cash reserves in safe investments such as Government Bonds may give Japan rediculously low interest rates not found anywhere in the world preventing a meltdown.... But its also preventing investment as so much cash is forced into financing their Government and not invested

 

A debt ratio of 230% would of crushed any other Nation tho. But with Government bonds yielding 0.7%, a financial meltdown has thus far been averted

 

i wonder if economic growth raising interest rates could intern implode Japan right back down

 

 

Japan is in tough trouble. Do nothing and they will uktimately be doomed... Do something and you MAY still be dommed. Thats what happens when u dont deal with issues early on and instead kick the can down the road and let issue get worse  

They could simply default... not a big problem?

[Economy 53,090]

They could simply default... not a big problem?

well... A default always destroys investor condidence to say good buy to much investment...

 

defaulting also surges interest rates. And since their debt is 230% of GDP... They would have to default over and over on many bonds over a prolonged period of time until they erased enough debt to be managable. It couldnt be just a few defaults

 

additionaly Surging rates to Government bonds would spread to Corporate bond market and even bank loans. Businesses and everyday people would have credit costs skyrocket and the economy would still implode

 

TWO ALTERNATIVES TO DEFAULTING:

 

They could print tones of money and create hyper inflation. This too has economic implications. Peoples savings would be wiped out and price instability always makes budgeting and efficiency planning impossible. But it would devalue the size of debt considerably

 

Next option, CHEAT!!! Make reforms to grow GDP. And once interest rates start to rise from economic growth, the Central Bank can increase QE to buy Government debt and keep Yields down on Government bonds only. And QE isnt as inflationairy as general printing

 

im pretty sure increasing QE during economic growth to keep Government debt interest low though would be seen as manipulation and would piss off other Nations

 

In short, no option is pleasent. Big issues are never fun to fix  

[Truth 90]

I'm not much into this issue, however, I wonder how it is possible that they not only slowed down economically, but they are in such a slump. They used to be a powerhouse years ago.

[RAMROD 118,006]

they are not "racist" but they are scared that a massive amount of immigrants from different societies would change/ affect their way of life and their own and unique society

Japan is racist, it is OK to admit it.

I love Japan too but they have their own share of bad things as well.

There are bigots there, just like in every society. For example they called African as Doujin which means dirt people. And called both mixed race people  and Japanese who tried to be black as Jagger aka Japanese Nxxxer. And they don't have laws against hate speech just yet.

[HANZ 4,380]

Japan is racist, it is OK to admit it.

I love Japan too but they have their own share of bad things as well.

There are bigots there, just like in every society. For example they called African as Doujin which means dirt people. And called both mixed race people  and Japanese who tried to be black as Jagger aka Japanese Nxxxer. And they don't have laws against hate speech just yet.

true tbh

they've always treated and still think of Chinese and Koreans as inferior

now imagine how they see those who are very different from them