GST, the fact is, the Japanese economy has been stifled by their people's insistence on saving all their money and not spending any of it.
They look to the US for tourism, goods, meat, grain, oil, aerospace, and investments, becuase they cannot do/produce it themselves. They no longer produce commodity electronic goods for the west because they've been beat out on production and labor costs by other Asian countries and the South American countries. Japanese co's qualify for loans based not on their profitability, bus plans, or balance sheets, but based on their real estate holdings !! So real estate in Japanese cities is artificially overpriced, and people live on top of each other for no reason.
So where does all that leave Japan? Socking away cash, and scared of the future, with their aging population.
Japanese govt bonds are still paying 0% interest, because there is no demand for them.
Yup, GST, we ought to all follow Japan's example! LOL ! |
