Why Japan's Debt is So High

As you know, one cause of Japan consumption tax raising is because Japan's debt is so high to Bank of Japan. Why? In case you wonder, here you are.

• One is the government's stimulus
package to fight the recession that occurred in the early 1990s for the
explosion Assets Price Bubble in Japan or who is known as the Japanese Asset
Price Bubble, where the housing market and the stock price at the time rocketed
to the price level the highest in the world. Since the collapse of the Japanese
economy since then Japan in recession and have not been back to the point of
positive economics, which is also known as time / lost economic decade or The
Lost Decade.

• Over the years Japan has become
one of the leaders of the world's export economy, but exports have fallen
drastically in 2009 (when the economic storm hit the mortgage Uncle Sam) and
push the Japanese debt to the highest level. One by one the world's economic
system was dragged into paralysis since then, several countries in Asia was not
immune from the economic storm so that the impact on the level of consumption,
even for the purchase of goods made in Japan. And since then, things have never
been better again.

• But there is one interesting
thing for me to be a record, can never be imagined again how the State with the
largest debt burden in the world capable of bailing out other countries that
are being faced by the debt crisis as well. The world's largest borrower at the
same time also the largest lender in the world.

As that was widely reported by
newspapers and media at the time, one of the online news portal, Global
Security News, said that this year Japan has generously gave the money to the
IMF for its concern that the debt crisis being experienced in some countries in
Europe. This is the second time that they stepped into the bowl that provided
the IMF after the peak of a global panic in 2009 and they are the only one who
inject $ 100 billion into the IMF wallet. Very interesting to see how they play
each role, while the Japanese politicians and the BOJ alarming debt situation,
the Japanese government even urged local banks to bailout European governments
(where there is a very real risk of failure), it shows as there a bit of
"tension" in their stage.

However, one that is certain is
that the Ministry of Finance of Tokyo more and more borrowed from the Japanese
public not to finance government spending that is getting out of control, but
to overseas.

Huft, Japan! You really need to get rid of these ASAP ;).

Thanks for reading.

xoxo

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Source : 

vmarketvoice.blogspot.com/

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