Tuesday, November 18, 2014

Japan's economy

18 more months of just 8%~

Below are some conflicting views.  In the second video, the man with the mustache/beard says, around 4 min 35 sec into it, that the only way to increase capital investment is to make it costly to sit on cash. . .to create inflation. . .Then people will go out and take financial risks and invest for a higher return.

Of course, there are risk-takers in this country and in every country, but most of the people I know here are pretty reluctant to make the leap.  I'm more inclined to agree with the economist without the mustache and beard (nothing against mustaches or beards, though).  De-regulating the country, liberalizing the workforce, and cutting corporate tax rates, he thinks, could do the trick.

I took macro- and micro- economics in high school, and I just barely passed, so I think I'm pretty terrible in understanding any economy.  In terms of language, though, the one thing I see in common with the second video and with other videos that I saw last week (when I watched, in a bit of a drunken state, the news that Japan had put out another stimulus) is that America and Japan, while facing some similar problems, differ in this:  America can solve its workforce problems by changing its immigration laws, while Japan will not do this.





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