Game Over Abenomics: "This Week Japan Will Acknowledge It Is In Recession", Goldman Reveals

[ChineseTiger1986]

We have been waiting for this particular bolded sentence ever since we predicted it would take place back in December 2012 when a bunch of Keynesians, a disgraced former/current prime minister with a diarrhea problem and, of course, the Goldman Sachs' corner suite, first unleashed Abenomics.

From Goldman's Naohiko Baba, previewing this week's key Japanese economic events

The Cabinet Office makes an assessment of the state of the economy based on the trend in the coincident CI, using a set of objective criteria. The August coincident CI is set to print negative mom. In this case, the Cabinet Office’s economic assessment will likely shift downward to “signaling a possible turning point” from the current level of “weakening”. According to the Cabinet Office, such a change in assessment provisionally indicates a likelihood that the economy has already fallen into recession. This is effectively akin to the government acknowledging that the economy is in recession.

And because every Keynesian lunacy has to end some time, RIP Abenomics: December 2012 - October 2014.

Game Over Abenomics: "This Week Japan Will Acknowledge It Is In Recession", Goldman Reveals | Zero Hedge

 

[powastick]

Japan's Debt Problem Visualized

 

[Aepsilons]

Yup, we do have a severe debt problem. About 10 trillion USD.

Still not as bad as the United State's 17 trillion USD.

 

[DoTell]

Japan's Debt Problem Visualized

Very informative video. What does it mean by "game over"? Japan going default? Utterly unthinkable!

Yup, we do have a severe debt problem. About 10 trillion USD.

Still not as bad as the United State's 17 trillion USD.

Actually Japan is in far worse debt situation than the U.S.. Japan's GDP is around $5 trillion, the U.S. GDP is $17 trillion. So in terms of country's debt recovery power, Japan is much weaker. No to mention Japan's aging population makes it harder and harder to collect Tax revenue.

 

[terranMarine]

3rd lost decade approaching fast, i believe Japan has a bigger problem than US

 

[Aepsilons]

Actually Japan is in far worse debt situation than the U.S.. Japan's GDP is around $5 trillion, the U.S. GDP is $17 trillion. So in terms of country's debt recovery power, Japan is much weaker. No to mention Japan's aging population makes it harder and harder to collect Tax revenue.

So now you know why Abe is split between raising taxes to help solve the debt issue and cutting it , in application to pro-market platform. As for the population issue, that's a long term issue, we can still play around with that. Meaning policies can be implemented (and are being implemented) to address this issue. The impending concern is the economy.

 

[Speeder 2]

Keynesian can be best described as economic cocaine.

Abe has master-minded the plan and is spearleading entire Japan into an economic disaster so severe that will make "the lost decade" look like a walk in a park.

Japan has only 3 ways out of it:

1. closely collaborating with China: admitting China's superiority, like in the most of the history

2. wait for the tsunami to happen and bite the bullet: economic suicide. Shortly before it happens, the US will abandom Japan.

3. build nukes & start WW3 to occupy overseas natural resources and market by force: this seems to be what Abe & Nutters are planning.

 

[Aepsilons]

3rd lost decade approaching fast, i believe Japan has a bigger problem than US

Don't be so obtuse. Abe has yet to even implement the third arrow. I remain optimistic.

1. closely collaborating with China: admitting China's superiority, like in the most of the history

Collaboration with China has always been a reality. Irrespective of political foibles.

2. wait for the tsunami to happen and bite the bullet: economic suicide. Shortly before it happens, the US will abandom Japan.

Do you expect me to take you seriously ?

3. build nukes & start WW3 to occupy overseas natural resources and market by force: this seems to be what Abe & Nutters are planning.

Now, after reading this, it seems that your grasp of geostrategic reality is an example of an outlier.

 

[Speeder 2]

Don't be so obtuse. Abe has yet to even implement the third arrow. I remain optimistic.

Collaboration with China has always been a reality. Irrespective of political foibles.

Do you expect me to take you seriously ?

Now, after reading this, it seems that your grasp of geostrategic reality is an example of an outlier.

3rd arrow? That's must be a quick shot into his own forehead. Don't you have any delusion on a drug user.

And what "geostrategic reality"? The only reality is fastly exploiding moutain of debt of $10trillion on top of a non-growing. and fastly aging society.

Abe either defaults (=bancrupcy) or takes in more cocaine in the hope that he will be "strong"enough to bring some nearby with him on his way down into oblivion.

 

[terranMarine]

our nipponjin here is overly optimistic i must say. I guess he will not give up unless he sees the results of Abe's 3rd arrow rescue mission.

 

[powastick]

So now you know why Abe is split between raising taxes to help solve the debt issue and cutting it , in application to pro-market platform. As for the population issue, that's a long term issue, we can still play around with that. Meaning policies can be implemented (and are being implemented) to address this issue. The impending concern is the economy.

For starters, Japan needs energy independence from fossil fuel and go into more Nuclear. Japan has been delaying restarts for too long.

 

[Aepsilons]

http://www.teikoku.com/wp-content/uploads/2014/09/summary_en_201408sp.pdf

I encourage reading the following economic report and next year's projected performance.

For starters, Japan needs energy independence from fossil fuel and go into more Nuclear. Japan has been delaying restarts for too long.

I agree, they must be restarted.

 

[Steakhouse]

Now Abe turn around and ask Xi for a hand out?

 

[Luca1]

Yup, we do have a severe debt problem. About 10 trillion USD.

Still not as bad as the United State's 17 trillion USD.

But the US economy is more than 3 times that of Japanese Economy.

 

[Beidou2020]

The self-destruction of Japan is almost complete.

Just give it a few months.