Japan Fastest Growth in 2 Years: Why?

[ItsTime]

http://edition.cnn.com/2009/BUSINESS/11/15/japan.gdp.growth/

Japan's economy grew at an annualized rate of 4.8 percent last quarter, the fastest pace in two years.

The third quarter GDP growth is compared to 2.7 percent in the April to June quarter and a contraction of 12.2 percent in January to March.

It's the second straight quarter of growth for the world's second largest economy, which is recovering from the worst recession since World War II.

The GDP growth beat analysts expectations of a 2.9 percent gain.

 

[Arklatex]

Because of stimulus, next door to China. People still buying Nintendos. Not really sure.

 

[Andrew-Austin]

Keynesian economics finally started working for them, after fucking them up for so long.

Its a new age I guess, or just a boom. lol

 

[JasonC]

Actually, I believe I remember hearing somewhere that Japan has recently moved away from keynesian economics and has been more market oriented.

 

[mtj458]

Keynesian economics works in the short term. Obviously if the government spends money then GDP will rise.

 

[Che]

Actually, I believe I remember hearing somewhere that Japan has recently moved away from keynesian economics and has been more market oriented.

yea, i heard they elected new PM recently with Democratic Party(Not the Democratic Party in US) in control of the House. The Democratic Party argues that the bureaucracy of the Japanese government size is too large, inefficient, and saturated with cronies and sees the government's role as limited to building the necessary system for self-reliant and independent individuals. The Party seeks to introduce transparency of government and a decentralization of government agencies to local organizational structures including to let citizens themselves provide former government services and have a society with more just and fair rules. The Party also proclaims to hold the values in the meaning of the constitution to "embody the fundamental principles of the Constitution: popular sovereignty, respect for fundamental human rights, and pacifism", having an international-policy of non-intervention and mutual coexistence and to restore the world's trust in Japan.
Sounds like Ron Paul's platform doesn't it? But who knows, let's compare GWB's platform from 2000 to 2008.

 

[tremendoustie]

Someone's got to say it: Peter Schiff was Right.

Decoupling baby.

 

[Kludge]

I thought I just read Japan was on the brink of collapse a few days ago.

Edit: http://www.thedailybell.com/BellPage.asp?nid=578 second story

 

[ItsTime]

yea, i heard they elected new PM recently with Democratic Party(Not the Democratic Party in US) in control of the House. The Democratic Party argues that the bureaucracy of the Japanese government size is too large, inefficient, and saturated with cronies and sees the government's role as limited to building the necessary system for self-reliant and independent individuals. The Party seeks to introduce transparency of government and a decentralization of government agencies to local organizational structures including to let citizens themselves provide former government services and have a society with more just and fair rules. The Party also proclaims to hold the values in the meaning of the constitution to "embody the fundamental principles of the Constitution: popular sovereignty, respect for fundamental human rights, and pacifism", having an international-policy of non-intervention and mutual coexistence and to restore the world's trust in Japan.
Sounds like Ron Paul's platform doesn't it? But who knows, let's compare GWB's platform from 2000 to 2008.

yeah I was trying to get my head around what happened in that election.

How heavily did they bailout their companies this year?

 

[rpfan2008]

Japanese are net exporters. They have a positive balance-of-trade.

 

[HOLLYWOOD]

Government has turn the 'GDP' acronym into a bullshit propaganda cooked numbers game.

Has anyone looked recently at Japan's ratio of Deficit to GDP?

Has anyone looked recently at Japan's Debt load?

Remember Japan can do what we cannot because they are a major export trade surplus country and their citizens save much more and focus on longterm goals. Their society also attempts to keep business for Japanese business over the sellout whores in Washington DC give business instant gratifications to whatever they want inserted into legislation. Usually destructive to the country and economy long term.

 

[rpfan2008]

^ Exactly Hollywood, I just checked it.

Japan and GB has one of the biggest debt ratio. In a few decades the vipers have already gulped their production for coming centuries.

 

[StilesBC]

The 4.8% number is adjusted for more than 5% deflation. Without the price deflator, growth was negative.

This is fine, were it not for growing debt levels that are relative to nominal GDP - not deflation adjusted GDP. In other words, GDP rose, but debt/GDP also rose. Not good.

http://econompicdata.blogspot.com/2009/11/japanese-gdp-worst-48-gdp-print-ever.html

 

[Bossobass]

Japan's growth was pushed up by cash for clunkers.

Bosso

 

[Arklatex]

I heard on bloomberg that China has replaced USA as Japan's largest trade partner for the first time. I believe that's what they said, so they were making China out to be the big reason for Japan's growth. Japan is 2nd world power behind USA, but they are right off China's ports. Big advantage.