| To: carranza2 who wrote (93591) | 8/16/2012 9:29:56 AM |
| From: elmatador | Respond to of 147652 |
| |
Who has always said that population had to be replenished? Now the people discovered the connection people and economic growth. ten years ago I was telling that in the BBR thread.
Mass migration. Tax payer importation. It is all there. Canada 140 million. Australia 100 million. US half billion. Those were the figures I was throwing around.
Japan's percentage of "productive" population is declining faster than that of any other major economy (also discussed here). With restrictive immigration policies and low birth rates, the "vacuum" created by the aging boomers is not filled.
 | | Japan's working age population % (source: GS) |
Because of this decline in productive population, Goldman predicts that Japan's capacity to grow economically will become more constrained in the next few years.
 | | Japan's growth forecast (source: GS) |
At no point going forward is Japan expected to grow at 2%. So when should the government implement this tax increase? Some in Japan argue it should not be implemented at all because the last increase in 1997 ended up pushing the nation into a deflationary spiral. |
