Japan's industrial production has sharply declined, plummeting 7.3% in June 2024 compared to the previous year. This marks the fifth consecutive drop this year and the steepest decline since September 2020. As the country grapples with this downturn, monetary policy is under pressure to gradually raise interest rates to combat inflation and escape the low-interest trap. How will Japan navigate this economic turbulence?
No chance in fucking hell!
Not until they meet the fate as one of the worst, genocidal commies that still is far too influential: Trotsky...
So, ice ax through the forehead it has to be!
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Only stronger wage growth and more moderate inflation may boost consumer spending. Plus, Yen as a weak currency is likely to drive export growth. While these factors should collectively improve economic conditions, I expect growth will be relatively modest. Japan should recover in this second half.
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Better is, if you want an economy to grow, you have to expand its production capacities, i.e. capital. this is done via a savings rate and not via credit-financed government spending programs. the approach that wages must first rise or consumption should grow in order to stimulate the economy is pure Keynesianism and unfortunately that is not how economics works.
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The main effect is first of all that the yen has stabilized massively against the dollar. the Bank of Japan is no longer throwing any US government bonds into the market to support the yen. in my opinion, this is also an effect that is being achieved through the interaction between the Fed and the BoJ. the Europeans are suffering, as the carry trade between the yen and the euro is disappearing into thin air. this means that one of the most important sources of financing for European debt is disappearing. this could become even more dramatic
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I can't even imagine how big of an economic correction they need after an entire generation of ZIRP. We needed an enormous correction after about a decade of zero interest rates.
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both the state and large parts of the private economy have adapted to this. even the minimal interest rate hikes of the real interest rate, which has barely made it into positive territory, are putting such a strain on the entire system that everything is under massive tension. i think a normalization of interest rates in europe would bring this system to collapse.
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It distorts everything. We had a great discussion about it last year: #296154.
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Ah, rhanks
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They are also struggling with their labor force. There are a lot of old people in Japan now.
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Absolutely and very low birth rates as far as I know.
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Yes, they dont have the greatest support system for young kids and families. I heard they are getting better, though.
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The high standard of living in Japan does not help the birth rate to grow either, in addition, the levels of "vegetable" men, as it is called there, are constantly increasing, that is, virgin men with no desire to have any wife or girlfriend.
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I think part of the problem in Japan like South Korea and China is men outnumber women. So they need to encourage females from Ukraine to immigrate to balance the odds or ratio.
When men outnumber women, women have too much power and they abuse it with birth control, abortion and threats of divorce or breakup.
Women in South Korea and Japan have too much power. Ergo birth rate is under 0.75
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Japan is a very isolated island country. I dont think it is going to change anytime soon. Actually, there is quite a bit of russian blood in the japanese ancestory.
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You have a point here, also that the man in these countries is usually too tamed and is very "feminine" to say the least, I am not surprised that in these countries porn is so expanded, men are satisfied watching women on a screen instead of going out for them, and women take advantage of this male weakness
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The men arent inspired to have relations. Many are comfortable being alone.
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I agree: too many men in South Korea and Japan lack masculinity
Even toxic masculinity is better than zero masculinity
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I think there is enough masculinity in Japan. I noticed it when I visited there. I dont think you can lump people together and say they are just one thing. There are many aspects in Japanese culture you havent considered.
above all, I see the welfare state as the cause of falling birth rates. the decoupling of intergenerational responsibility is the reason for this
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I forgot about him... Al always knew about women. And if it wasn't him, his dad was a great advisor... https://youtu.be/puF3njjd88o?si=2a5wLOZq0mliMo88
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Its not everyones aspirations to have a wife or girlfriend. Im sure it will happen with time. There is a lot happening in Japan, now. Many people are homeless, too.
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But in most cases it is needed for the birth rate to grow.
Yes, it is clear that many things are happening, this is just one of them.
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That is true. The problem is even the couples that are deciding to have babies only have one. Cost and education is so expensive there.
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First World Problems...
Then we look at the poorest countries and they have a lot of children for each couple.