Quake/Tsunami

ZenGum · 03-12-2011, 07:59 PM

If you want to get economical about it ... ohh crap.

Japan's debt situation is worse than anywhere in Europe. Annual government spending is almost TWICE revenue. Budget deficit is around 10% of GDP. Government debt is twice GDP.

Ever since their bubble burst in 1990, they have been pumping stimulus into their economy - debt-funded infrastructure in rural areas that will never justify its own expense. Rebuilding from this will just be more of the same.

Somehow, everyone has been to polite to mention this, but a shock like this might be what breaks the dam wall, so to speak. An iron-faced repudiation of a gazillion yen worth of debt is not out of the question.

03-12-2011, 07:59 PM	#11
ZenGum Doctor Wtf Join Date: Oct 2007 Location: Badelaide, Baustralia Posts: 12,861	If you want to get economical about it ... ohh crap. Japan's debt situation is worse than anywhere in Europe. Annual government spending is almost TWICE revenue. Budget deficit is around 10% of GDP. Government debt is twice GDP. Ever since their bubble burst in 1990, they have been pumping stimulus into their economy - debt-funded infrastructure in rural areas that will never justify its own expense. Rebuilding from this will just be more of the same. Somehow, everyone has been to polite to mention this, but a shock like this might be what breaks the dam wall, so to speak. An iron-faced repudiation of a gazillion yen worth of debt is not out of the question. __________________ Shut up and hug. MoreThanPretty, Nov 5, 2008. Just because I'm nominally polite, does not make me a pussy. Sundae Girl.

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