Skip to comments.Our Next Economic Plague: Japan Disease(good article on aging economy)
Posted on 03/15/2010 6:16:46 PM PDT by TigerLikesRooster
By Andy Xie 03.15.2010 18:20
Our Next Economic Plague: Japan Disease
Growing old is hard, but watching formerly vibrant economies choke on debt and wither away is downright ugly
Japan's nominal GDP fell 6 percent to 475 trillion yen last year, while its real GDP declined 5 percent. Meanwhile, nominal GDP in the United States decreased 1.3 percent to US$ 14.2 trillion and real GDP fell 2.4 percent.
If you travel across Japan and the United States, you get the impression that America is in much worse shape: Americans cannot stop screaming about their woes, while the Japanese face economic sufferings quietly. Maybe this is due to cultural differences. Regardless, Japan is in dire shape. Its nominal GDP is now lower than it was in 1992 when the nation's property prices first began to decline.
Japan's status is frightening because its problems will spread to all of us in the future. Everyone knows what it's like to grow old. And history is full of examples of empires that grow old, wither and die. For modern economies, though, this is a new concept.
There are clearly factors behind the aging of an economy. All of these factors are now at work in Japan.
Decades ago, the Netherlands had oil wealth. Strong export revenue pumped up its exchange rate while its industries shriveled under high costs. The Dutch took advantage of the high currency value and enjoyed life by buying a lot and not working much. When the oil ran out, hard times hit. Nowadays, when a country enjoys too much of God's gifts and forgets to work for a living, it's called Dutch disease. When an economy exhibits senile characteristics, I think it should be called "Japan disease."
(Excerpt) Read more at english.caing.com ...
Get government out of the equation and things will pick up. If not, short treasuries.
Well, the solution to our economic woes is pretty simple.
We need another World War! :)
If we win, we lose, because we spend our National Treasure rebuilding the rest of the freakin’ world...who eventually end up owning a good portion of us because we’re so in debt we sell our shares to whoever wants them. (Japan, Anyone? We kicked their @sses and yet these days they own a good chunk of the USA.)
If we lose, we lose...because no one else is STUPID enough to rebuild the rest of the world when they have everyone elses treasure to rebuild their own!!
Grrrrrr! I quit.
(Yep. I’m in one of THOSE moods tonight, LOL!)
The fix is easy to figure out, hard to get a worthless pile of excrement in DC to follow through with:
1. cut spending
2. cut taxes(note: spending must be cut first!)
3. reduce regulations on business
4. allow real estate markets to collapse
5. break unions
6. raise retirement age
7. deport all illegals and seal the borders
8. abolish anchor baby law and make it retroactive 18 years
9. cut ss benefits
10. cut social programs
11. eliminate federal funding of education and student loans
12. abolish the fed(or at least make it transparent)
13. deflate money supply
14. energy independence
This fear about "Japan Disease" is one big reason why the U.S. is so hell-bent on granting amnesty to millions of illegal aliens.
If granting amnesty meant increases in work force with a corresponding increase in the worker to retiree ratio, I would be all for it. But where are the jobs. Manufacturing has moved off shore, financial industry is next to go. London was once a financial hub, until they regulated the industry away, Dodd is about to do the same. The service industry needs a churning economy to thrive, thus the SEIU needs Obamacare to swell its ranks with doctors and nurses on the fed payroll. The welfare state is like ebola, killing its host called capitalism.
I am wondering if we could get a relatively mild law passed that only a child conceived and born in the United States could be considered a citizen if the parents were illegals.
Sounds like Sarah Palin’s campaign platform to me. :)
“The welfare state is like ebola, killing its host called capitalism.”
Shhhh! The Average Working Wo/Man isn’t supposed to know that kind of stuff! ;)
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.