The Truth behind Japan's stagnation.

[Anarchist420]

http://www.lewrockwell.com/north/north921.html

The article points out that the reason why we haven't experienced price inflation is because the banks aren't currently lending. Once they do, however, we will experience increased prices.

Japan hadn't done things as wisely as they should've. As long as a government handles its recession wisely, then the country gets out of it quickly. Unfortunately, that seldom happens.

 

[ebaycj]

Let me guess, it's because their currency is not backed 100% by gold.

 

[Anarchist420]

Well, that and the fact that they have had and still have a central bank.

 

[IronWing]

OP: Do you consider yourself better versed in political thought or in economic theory? Where do you think your strength lies?

 

[ichy]

Nobody with a brain takes articles from lewrockwell.com seriously.

 

[Anarchist420]

@IronWing: Both

 

[jhbball]

Let me guess, it's because their currency is not backed 100% by gold.

haha. nice.

 

[Phokus]

If we only had a minimalist government and glenn beck hawking goldline, there would be no such thing as a recession.

 

[sMiLeYz]

Is libertarianism the cool thing in high school now? Especially with the stoner crowd?

 

[matt0611]

Is libertarianism the cool thing in high school now? Especially with the stoner crowd?

Could be, it was liberalism / socialism when I was in high school.

 

[sMiLeYz]

Could be, it was liberalism / socialism when I was in high school.

Did you learn how taxes work in high school?

 

[dullard]

The article could have mentioned that there was no growth since Japan's workforce is shrinking (even their population is now shrinking).

The article could have mentioned that there was no growth since people under age 35 (young and creative) find it virutally impossible to get a job and instead those stodgy, old, seniority-based companies stick with people who have no new ideas.

The article could have mentioned that Japan's population is increasingly old (median age is past 50 now I believe) and a large percent is retired pensioners who aren't the type of people who rush out and spend on the latest clothing, gadgets, cars, etc. Thus, the GDP doesn't grow.

The article could have mentioned that Japan's biggest problem is that it is expected to have pensioners using up 40+% of Japan's GDP within the next 10 years for non-productive things. That is, extending the life-span of a retired person another year or two doesn't help future growth of the country's economy. It isn't projected to stop at 40+% either, it is projected to keep climbing.

No, instead the article mentions that the author's wife likes to watch the "Today Show" and that author thinks Erin Burnett is cute. I'm fairly convinced, then with that type of "proof" the article must be correct that Japan's problem is the US's federal reserve.

 

[Dr. Zaus]

Japan's problem is that it is old and decadent. The salvation of the US will come in the form of a Mexican invasion that will change our society fundamentally, but keep us economically viable.

Everyone knows this.

 

[fskimospy]

 

[sMiLeYz]

The article could have mentioned that there was no growth since Japan's workforce is shrinking (even their population is now shrinking).

The article could have mentioned that there was no growth since people under age 35 (young and creative) find it virutally impossible to get a job and instead those stodgy, old, seniority-based companies stick with people who have no new ideas.

The article could have mentioned that Japan's population is increasingly old (median age is past 50 now I believe) and a large percent is retired pensioners who aren't the type of people who rush out and spend on the latest clothing, gadgets, cars, etc. Thus, the GDP doesn't grow.

The article could have mentioned that Japan's biggest problem is that it is expected to have pensioners using up 40+% of Japan's GDP within the next 10 years for non-productive things. That is, extending the life-span of a retired person another year or two doesn't help future growth of the country's economy. It isn't projected to stop at 40+% either, it is projected to keep climbing.

No, instead the article mentions that the author's wife likes to watch the "Today Show" and that author thinks Erin Burnett is cute. I'm fairly convinced, then with that type of "proof" the article must be correct that Japan's problem is the US's federal reserve.

This.

I was literally loling when the Author couldn't decided whether US was like Japan or Zimbabwe. Really? Must be still waiting for that crazy hyperinflation to set in, and finally gave up.

 

[piasabird]

I tend to think that some of the reasoning you are using for Japans recovery and innovation are not 100% correct. Just watch some Japanese Anime.

Toyota just had a massive recall and the CEO apologised. One of his key acknowlegements was that they had a breakdown in their Quality Standards and that was causing major problems. From an engineering perspective, they were cutting corners on cost and building cars with inferior parts. This dedication to quality probably has the side-effect of stifling new development or more likely it causes a slow-down in new development.

If you look at Sony Game Systems, you can see it takes them like 10 years to come out with a new console. So maybe there are some other issues goiong on. Maybe they dont consider Game Consoles new technology and they have pushed a lot of things on the back burner. Then the Wii came out and they developed the Kinect for the X-Box fairly fast, even though they took a different set of technologies to develop this new concept of a person being a game controller, with no wires.

Maybe some of the interests of the Japanese just dont match up with the American Lifestyle.

 

[Munky]

Nobody with a brain takes articles from lewrockwell.com seriously.

What, as opposed to to Paul Krugman, Ben Bernanke, and all the other experts who either never saw the bubble collapse coming or lied about it?

 

[ichy]

What, as opposed to to Paul Krugman, Ben Bernanke, and all the other experts who either never saw the bubble collapse coming or lied about it?

I wrote off lewrockwell.com when I read an article on there claiming that we should abolish DUI laws.

 

[Phokus]

What, as opposed to to Paul Krugman, Ben Bernanke, and all the other experts who either never saw the bubble collapse coming or lied about it?

Hahahaha? What? Krugman predicted the bubble back in 2005, stop lying

http://www.nytimes.com/2005/08/08/opinion/08krugman.html

 

[Munky]

Hahahaha? What? Krugman predicted the bubble back in 2005, stop lying

http://www.nytimes.com/2005/08/08/opinion/08krugman.html

Well, he seems to have developed a mental cataract since then, and is now preaching to inflate a debt bubble.

 

[fskimospy]

Well, he seems to have developed a mental cataract since then, and is now preaching to inflate a debt bubble.

No he's not.

 

[Munky]

No he's not.

Yes he is.

 

[fskimospy]

Yes he is.

LOL, ok. Repeat it as many times as it takes to convince yourself.

 

[Munky]

LOL, ok. Repeat it as many times as it takes to convince yourself.

That's all it took for you to convince yourself...

 

[Anarchist420]

I wrote off lewrockwell.com when I read an article on there claiming that we should abolish DUI laws.

I don't see why we shouldn't abolish DUI laws.