Guest Post: Land Of The Setting Sun

Tyler Durden's picture

Submitted by Jim Quinn of The Burning Platform

Land Of The Setting Sun

The linear thinkers that dominate the mainstream media and the halls
of power in Washington D.C. are assessing the series of disasters in
Japan without connecting the dots of history. Their ideological desire
to convince people that things will go back to normal in short order
flies in the face of the facts. It makes me wonder whether these
supposed thought leaders lack true intelligence or whether their
ideological biases convince them to lie. At the end of the day it comes
down to wealth, power and control. If those in power were to tell the
truth about the true consequences of demographics, debt, disasters, and
devaluation, their subjects would revolt and toss them out. Before the
multiple disasters struck Japan last week, the sun was already setting
on this empire. The recent tragic events will accelerate that descent.  


Japanese Beetle Meet Windshield


Smart financial minds have been expecting a Japanese economic tsunami
for the last few years. John Mauldin described Japan’s predicament in
early 2010:

“I refer to Japan as a bug in search
of a windshield. I am not so sure about the timing, however, as the
economic and fiscal insanity that is Japan may be able to go on for
longer than many think possible. But to me it is not a question of
whether there will be a crisis, but when there will be one. This year?
2011? 2012? I doubt Japan makes it to the middle of the decade with a
very serious and sad day of reckoning.

The downside to the continuation of
running massive deficits is that when the break does come, it will be
all the more painful and difficult to deal with as the debt mounts. If
there is an upside, it is for the rest of the world to see what can
happen to a developed country like Japan when massive deficits are
allowed to pile up one after another. It will be a morality play writ
large upon the walls, which cannot be dismissed.”

Ambrose Evans-Pritchard expected a 9.0 debt earthquake to strike Japan in 2010:

“Weak sovereigns will buckle. The
shocker will be Japan, our Weimar-in-waiting. This is the year when
Tokyo finds it can no longer borrow at 1% from a captive bond market,
and when it must foot the bill for all those fiscal packages that seemed
such a good idea at the time. Every auction of JGBs will be a news
event as the public debt punches above 225% of GDP. Finance Minister
Hirohisa Fujii will become as familiar as a rock star.

Once the dam breaks, debt service
costs will tear the budget to pieces. The Bank of Japan will pull the
emergency lever on QE. The country will flip from deflation to incipient
hyperinflation. The yen will fall out of bed, outdoing China’s yuan in
the beggar-thy-neighbor race to the bottom.”

Mr. Pritchard was either wrong or early, depending upon your point of view.  

                                       JAPAN INTEREST RATES

Japan can still borrow for 10 years at 1%. Despite the highest
government debt as a percentage of GDP on the planet at 225%, Japan has
not felt the wrath of the bond vigilantes. Not only did the Yen not fall
out of bed, but it soared to a post-war high against the USD last week
after the earthquake/tsunami. Investors drove the value of the yen
higher, anticipating a huge rebuilding program in Japan. Japanese
financial institutions would need to convert foreign assets into yen to
pay for damage claims and construction expenses, a process that would
strengthen the currency. In anticipation, investors piled into yen,
helping drive up its value. Central banks across the globe intervened
and weakened the currency, for the time being. When the world comes to
its senses, the Yen will weaken on its own.

Japanese Yen (JPY) to 1 US Dollar (USD)

Debt & Demographics


Japan is a one trick pony that just broke two legs and is waiting to
be put down. They have experienced a two decade long recession. Their
stock market is still 70% below its 1990 peak. They have no natural
resources. They allow virtually no immigration. And their population is
in a death spiral. The one and only thing they have going for them is
their phenomenal ability to manufacture high quality products and export
them to the rest of the world. The earthquake and tsunami that struck
Japan severely damaged their just in time manufacturing machine. A
surging yen would destroy their export machine by making their products
more expensive. Hundreds of high tech Toyota, Honda, and Sony factories
are shut. Four hundred miles of ports and harbors have been wiped out.
There are rolling blackouts, with one million households without
electricity. Over 500,000 people are still homeless.

The short-term impact of this disaster will push Japan into
recession. The rebuilding efforts over the coming years will create a
positive GDP figure, but will not do anything to benefit Japan over the
long haul. The billions designated to rebuild will be money not invested
in a more beneficial manner. The linear thinkers conclude that over the
long-term Japan will be OK. These people are ignoring the double D’s –
Debt and Demographics. When Japan entered its two decades of recession
and experienced the Kobe earthquake in 1995, its government debt stood
at 52% of GDP. Today it stands at 225% of GDP. Twenty one years ago, the
Japanese population was still relatively young, with only 12% of the
population over 65 years old. The population of Japan peaked in 2004 and
now is in relentless decline. Over 23% of the population is over 65 and
the median age is 45 years old. For comparison, the median age in the
U.S. is 37 years old, with only 13% over 65. The projection portion of
the chart below paints a picture of death. The population of Japan is
aging rapidly and will decline by 4.4 million, or 3.5% in the next ten

Table 2.2 Trends in Population

The question I pose to the mainstream thinkers is, “How can a country
with a rapidly aging population and nearly one quarter of its
population over 65 years old generate the necessary dynamic enthusiasm
for rebuilding a shattered country?” Youthful enthusiasm and hope for a
brighter future is essential to any enormous rebuilding effort. Japan
does not have it in them. News reports already indicate a lethargic and
seemingly insufficient response by emergency workers. The devastation
seems to have overwhelmed this aging country. The psychological impact
of this type of natural disaster will likely have two phases. Psychology
professor Magda Osman describes the expected human response:

“After a disaster, typically small
communities become incredibly co-operative and pull together to help
each other and start the rebuilding process. There’s an immediate
response where people start to take control of the situation, begin to
deal with it and assess and respond to the devastation around them. The
problem is that we aren’t very good at calculating the long-term effects
of disasters. After about two months of re-building and cleaning up we
tend to experience a second major slump when we realize the full
severity of the situation in the longer term. This is what we need to be
wary of because this triggers severe depression.”

This would be the normal response of a traumatized populace. An aged
populace is likely to experience worse depression and not bounce back
from this tragedy. Japan is still the 10th most populated country on
earth, with the 3rd largest economy. China just passed Japan to become
the 2nd biggest economy in the world. India will pass Japan by 2012.

Table 2.1 Countries with a Large Population (2009)

Youthful countries across the world are gaining on Japan. The wisdom
of the elderly doesn’t cut it in a global economy. Global competition is
cutthroat. China, India and the other emerging Asian countries will
take advantage of Japan’s misfortune by filling the hole left by
Japanese manufacturers. The short-term issues of power, supply lines,
and reconstruction are minor when compared to a mass die off of the
Japanese population that will result in a population that is 25% smaller
in 2050 than it is today. Demographics are a bitch. 

Figure 2.4 Proportion of Elderly Population by Country (Aged 65 years and over)

With the amount of debt hanging over the Japanese empire, it might be
a good strategy to commit hari-kari. The non-thinking pundits on CNBC
contend that since Japan hasn’t had any detrimental effects from running
their debt to 225% of GDP, running it to 300% won’t be a problem.
Reinhart and Rogoff studies concluded that once a country breaches the
90% level, growth slows and a debt crisis is likely to ensue. Japan has
been stuck in a 20 year recession, as they chose Keynesian shovel ready
projects, quantitative easing, currency manipulation, and covering up
the true financial condition of its banks over accepting the
consequences of a debt bubble. Remind you of anyone? The result is their
real GDP is lower today than it was in 1995. The Paul Krugmans of the
world would contend that they just didn’t spend enough.


The only reason Japan has not collapsed is due to its homogeneous
population willing to buy virtually all of the debt issued by its
government for the last twenty years and its prodigious ability to
produce high quality products that the rest of the world wants. Japan
has maintained a consistent trade surplus, and its government debt has
been held mainly by its own people, with 95% of Japanese government
bonds in the possession of Japanese, meaning the country was able to
finance itself without depending upon fickle foreign investors who might
prefer a return greater than 1%. This ain’t 1990. The savings rate of
the Japanese population had already declined from 14% in 1990 to 2% by
2008. In a recent article, Mike Shedlock explained the situation prior
to the recent devastation:

“The Government Pension Investment
Fund, which oversees 117.6 trillion yen ($1.4 trillion), in September
forecast that it would sell 4 trillion yen in assets in the business
year ending March 31 to fund payouts. Sales by the fund, which helps
oversee public pension funds for Japan’s 37 million retirees, come as
the first of Japan’s baby boomers is set to turn 65 in 2012, making them
eligible for pension payments. Japan choices are to default on its
debt, print money to fund interest on the debt, raise taxes effectively
robbing savers of their money, or undertake huge spending cuts. The
dilemma stems from years of Keynesian and Monetarist stupidity.”

The new tragedy will just accelerate the conversion of Japanese
savers into forced spenders. Millions of Japanese savers will be forced
to spend their savings on survival, as many have lost their jobs and
businesses due to the monumental damage to northern Japan.

Setting Sun – Race to the Bottom


Traders figured out what must happen over the coming years. A large
swath of Japanese insurers and companies will begin repatriating assets
held in other currencies to begin the rebuilding effort at home, driving
the value of the Yen higher. At a time of crisis a stronger Yen would
severely damage Japan’s export based economy even further. Therefore,
Central Banks around the world jointly intervened. The Bank of Japan
spent Y2 trillion ($25 billion), while central banks across Europe
contributed $5 billion and the Federal Reserve spent $600 million to
push down the yen on Friday. The Bank of Japan is doing what they do
best - printing money. Quantitative easing is an art form perfected by
all Central Banks across the globe. Every disaster over the last twenty
years, whether man made (wars, internet collapse, housing collapse, debt
meltdown) or caused by nature, are met with the exact same solution – PRINT MONEY.

This method works until it doesn’t work. Japan’s central bank cannot
reverse the demographics. From this point forward the population of
Japan will be net sellers of government debt. Japanese insurance
companies will be on the hook for $33 billion in claims. They will need
to sell government bonds in order to make those payments. The World Bank
has estimated the cost of rebuilding to be $235 billion. The government
will need to borrow this money. At least 30% of its energy needs are
off-line. It already imports 95% of its oil and coal. They will need to
increase energy imports to make up for the nuclear energy shortage. Its
positive trade balance was already in decline.  The clueless CNBC
pundits can drone on about how this natural disaster will be good for
the Japanese economy because of the substantial rebuilding program, but
they are dead wrong. Japan is trapped, with no way out. They will need
to issue hundreds of billions in new debt, which cannot be bought by its
citizens, pension funds, or insurance companies. How many foreign
investors will buy a 10 Year Japanese government bond paying 1%, knowing
that Japan wants to weaken its currency? NONE. The
only choices are to raise interest rates to attract buyers or print more
money. With an already suffocating level of debt, they can’t allow
interest rates to rise. They would choke on the interest.

The Bank of Japan will follow the same script as Ben Bernanke. They
will print new Yen and buy the newly issued debt. What an original idea.
Japan is caught in a debt stranglehold and demographic nightmare. Their
currency will ultimately collapse like a nuclear reactor after a
tsunami. When Japan defaults on their debt, the pain will be intense, as
they will be throwing their own aged population under the bus. America,
on the other hand, will throw the whole world under the bus when we

The Japanese own $886 billion of US Treasuries and have bought $256
billion of our debt since October 2008. Timmy Geithner will need to
issue $1.5 trillion of new bonds per year. Japan will no longer be a
buyer. They will be a seller. This will put upward pressure on U.S.
interest rates. Japan’s reconstruction needs will put pressure on
commodity and energy prices. Production and supply problems for Japanese
parts and goods are already creating problems for GM and other car
companies in the U.S. Lack of supply leads to higher prices. The great
earthquake/tsunami/nuclear meltdown of 2011 will result in more
quantitative easing in Japan and the U.S. This will result in even more
inflation than we are experiencing today. Once the inflation genie is
out of the bottle, the race to the bottom will accelerate. Gold will
decide who wins the race. It has been a neck and neck race
since 2001. I’m not sure it is a race anyone wants to win. But the
destination is certain.


“The endeavors to expand the quantity of money in circulation
either in order to increase the government’s capacity to spend or in
order to bring about a temporary lowering of the rate of interest
disintegrate all currency matters and derange economic calculation.”
Ludwig von Mises

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Turd Ferguson's picture

The end of the Great Keynesian Experiment is upon us. Prepare accordingly.

Thorlyx's picture

They will need a lot of lipstick for this pig.

Cognitive Dissonance's picture

The MSM will most certainly help with this little project.

Call Revlon stat. We're completely out of bright cherry red Kool-Aid.

New_Meat's picture

That's so perjorative and insensitive. ;-)

Ruffcut's picture

The cycle is much longer, so only the beginning of the end.

They are still suffering from their 90's housing bubble. It has a half life of at least a decade, and will linger in the states, for that  long also.

With their recent disaster, still unfolding, there is absolutely no way to predict what direction down they will end up going.

Vampyroteuthis infernalis's picture

The cycles are long. Slow steady death by a hundred cuts. My guess is this disaster will accelerate the process though. When small companies are forced into bankruptcy it will work its way up the food chain. My guess is we will see the effects in a few months after the initial shock is over and people regain their senses realizing there is nothing left that is economically sound in their dying Japan.

DR's picture

Where does Keynes advocate bailing out a bloated banking system? His main ideas were for the US governments to encourage fiscal public works projects to smooth out the volatility of private business cycles. If the US had followed Keynes advice we would have put people back to work by rebuilding our decrepit public infrastructure and could have had a new highway system to show for all our debt.

ivana's picture

The experiment was conducted first in Japan. Japanese are like lighthouse showing way to disaster.
+ mentality and tradition used/manipulated to sacrifice whole nation for bankster interests.

baby_BLYTHE's picture

The ENTIRE WORLD is a sacrificial lamb to the genocidal banksters!

falak pema's picture

You are like out of the Godfather...which of the five families hires you as hit woman?


baby_BLYTHE's picture

haha, I love the Godfather!

At least the Mafia had some honor and humility, even if it was sometimes tinted in red bloodstains.

The bankers serve no master nor a purpose other than plight, devastation, usury, famine and war for nothing more than self-gratification at the expense of the many.

disabledvet's picture

well, I don't know about the humility but compliments are accepted.  As we like to say "party in the front, business in the back."

New World Chaos's picture

They serve Lucifer and want to rule the world with him.  The whole devastation thing isn't just for shits and giggles, it is a convenient excuse to increase state power.  Even in war profiteering, the profit motive is secondary.

Bastiat's picture

Sad, very sad, but true.

Michael's picture

Excellent article.

The world needs to shift it's focus from growth of the balance sheet to maintenance of hard assets. The world has grown enough already in terms of physical assets. The new goal should be getting as close to 0% growth as possible and maintaining the the things we've already built. Dismantling the Federal Reserve Corporation and International Banking Cartel operations needs to be our immediate #1 goal. Seizing their assets for financial terrorism and crimes against humanity need to be dealt with harshly and swiftly. Liquidation of debt must be a priority. Debt must be declared the #1 enemy of the state.

Financial services employees can be re-purposed to cleaning streets and painting dilapidated structures.

The "Set of a New Night', or "New Dusk", or something like that can replace the current Sun Cult  imagery they're using on us today.

Moon Rise images can be used to counter the Sun Cult, bring the world back into balance, and make the cultists heads explode.,or.r_gc.r_pw.&wrapid=tljp1300811323156012&um=1&ie=UTF-8&source=univ&sa=X&ei=S86ITcy-HcTJgQfX9vS_DQ&sqi=2&ved=0CCIQsAQ&biw=1570&bih=671

They call the operation in Libya "Odyssey Dawn".  Did you know they renamed the operation in Iraq back in September operation "New Dawn"?

That "Dawn" word is explained by Jordan Maxwell, very intriguing.

Jordan Maxwell - The Dawn of a New Day (2009) 

George Huxley's picture

They have been sacrificing for U.S. interests, with no choice in the matter. We have had them by the balls for a long time.

themosmitsos's picture

A) Wrong. And since u dont know why, I wont tell you.

B) You understand nothing about Asian culture & more specifically Japanese culture

C) The primary objective of all these reports is to focus on other nations' problems as a way to obfuscate US's problems. The Japanese & EU dog is allegedly uglier than yours. 200% debt to GDP & all that. Not arguing with data, but you miss what's right in front of you. Moreover, compare with the US: Japan & EU debt-to-GDP figures are ACCURATE, whereas US's do NOT include all kinds of shit that are kept off-balance sheet, under various excuses & guises. Do *THAT* math and *TRY* to get an comparitive accounting US debt-to-GDP *under* 1000%.



ps: I wonder when I'll see an analysis of US demographics, specifically Latino/Mexican [and to some extent black], the logical conclusions for US politics [at least in short term] of said demographics [vs white population]--to wit: Democrats may dominate the next 20yrs if not through power, but by pulling country & white attitudes left--and whether the result is going to be the same strong US that's simply more latino & multi-colored, or a US that just turns into Mexico [the real outcome]. But this very pertinent US demographic analysis, we'll never see--that'd be racist. Only other nations' demographics are relevant. This whole Japanese disaster has revealed to me a layer of US anti-Japanese racism that still exists, & so I'm super-sensitive about it right now.

Fisherman7's picture

I could not agree with Themosmitsos more - the author of this post is completely wrong.  The Japanese citizens hold their own debt, unlike the U.S. who has borrowed largely from other nations.  The Japanese build the best products in the world.  There is no comparison between a Government Motors piece of crap and a Lexus, or a Honda, Toyota, etc.  No Comparison!!  They will move their money from their bonds to capital investments in rebuilding their country - better than before.  Look at the way they have handled this crisis  -  They have handled this crisis, the people of the country I'm talking about, they have handled this crisis FAR far better than the people of this country, the U.S. handled Katrina!  Which was not 1/30th the magnitude in terms of damage and cost.  No luting, No greed, No fraud...just people doing what they can to help others.  I'll leave it with this - there are no law suits in Japan.  Their culture doesn't consider it an honorable way to conduct oneself.  They don't have lawsuits.  Think about that.  They will build their country back and within 5 years their economy will be growing like it hasn't grown in the last 20 years.  An investment in Japan today will pay off handsomely in 5 to 10 years, and I'd wager, pay more than double the return of one in the U.S. over the same period.  My humble opinion!

4shzl's picture

Maybe just a little looting, eh?

$500,000 vanishes from tsunami-ravaged bank 'Somebody stole the money in the midst of the chaos,' Japanese police official says

chumbawamba's picture

Most likely an ex-pat American.

I am Chumbawamba.

samsara's picture

They will build their country back and within 5 years their economy will be growing like it hasn't grown in the last 20 years


NOBODY is gonna grow like that ever again. 


Peak Oil

SilverBaron's picture

They will probably handle it much better than the U.S. would, but the U.S. economy is sputtering to a stop and that will screw Japan and the rest of the world.  Without the U.S. to buy all those Honda's who else will?  China will just copy the design and build their own.  India is also building their own cars--and cheap too.  Not just peak oil, peak well paying jobs to buy the well built Japanese exports.

euclidean's picture

'ey holmes, that's not looting

I call that encouraging participation in early cleanup. kirin would have had to do it themselves otherwise, and probably told all the locals to help themselves.

kirin would have legally had to dispose of the product on the grounds of safety. nice try though ...


sschu's picture

Japan & EU debt-to-GDP figures are ACCURATE

You may be correct, but I do not know much for sure anymore when it comes to the scale of the world-wide debt issue.

Unfortunately I draw little solace from the idea that we are more screwed than them when the problem is we are all screwed.


Pants McPants's picture

You'll get no argument from me re: US hatred of Japanese people.  I can't figure it out, either....I find no fault with the culture, even though my knowledge is minimal at best.

However, one minor quibble about US politics.  There's no "left" or "right" shift in the US - both parties support the State.  If by pulling the country leftward you mean increased statist control, I think you're right on.  The state only expands, it does not contract....until it implodes.

themosmitsos's picture

Bluntly, it's become ... unspeakable to use this word [wellfare], it's racist now. But *bluntly* all of Obama's policies, and Democratic policies by extension over the last 20+yrs, are STRAIGHT-UP wellfare policies. This is more the direction I'd expect from Democratic initiatives, to which even Republicans are acquiescing recently [Bush too for ex]. So the US will turn into Mexico. I mean in Economic terms. First black president. Whaaaaaaaaaaaat a coincidence.

I said it Bitchez.

Good for the goose, good for the gander is the phrase. And yes, US more screwed is not solace LOOL!

flattrader's picture

Re: this--

>>>But *bluntly* all of Obama's policies, and Democratic policies by extension over the last 20+yrs, are STRAIGHT-UP wellfare policies.<<<

>>>I said it Bitchez.<<<

You've said nothing...and conveniently ignored decades of Republican sponsored "Welfare for the Wealthy."

Rodent Freikorps's picture

The Bushes put their signature to the most costly welfare programs since the New Society.

The Bushes had good PR, but betrayed the conservatives on nearly all things.

DoChenRollingBearing's picture

Yes, the Bushes betrayed those of us who were conservative.

themosmitsos's picture

Dont mistake, we're talking about the current president. Not the previous, semi-functionally retarded one :)

chumbawamba's picture

It's these old farts who still harbor ill will over that incident at the naval base in Hawaii.  Of course, they're too indoctrinated to blame FDR for knowing they were coming yet allowing the attack so that the US population would be primed to enter WWII.


I am Chumbawamba.

Bendromeda Strain's picture

Yeah, I'd say you are hypersensitive. Everyone I speak with feels horrible about the quake disaster. I am going to ascribe your bad attitude to personal issues, because if you knew anything about Quinn, you would realize he isn't one to garner enjoyment from kicking fellow humans when they are down. 

As to your emphatic statement about the US fiscal situation vs EU/Japan, trust me on this. When Kyle Bass says "you first' and puts his money where his mouth is, you better know it isn't personal - it's math. Even if everything you say about hidden debt is true, as long as the USD is still the reserve currency then they can game the outcomes re: pecking order.


themosmitsos's picture

I admitted a personal senstitivity, and I dont know Quinn, I'm commenting about the post, not the man. But this post DOES seem to be a kick'em when they're down variety, and trust me, it's NOT the only one out there, though to be fair, it's certainly not the worst one ==> hence the personal sensitivity. 

Do me a favor, tell me which FX, PM/Metals or Commodities chart to look at to confirm your reserve currency *HYPOTHESIS* please? :P

Bendromeda Strain's picture

I apologize - I don't have charts to offer at the moment. Please give this a look from last August. You will see that Bass isn't someone who invests emotionally. He is merely saying Japan will restructure, and my point is, if it was etched in stone before (I believe him), then how much more so now in light of the trillions of Yen just printed.

themosmitsos's picture

It was ironic :) ... Looked at your link. Thanks for suggestion. No offense, but ... it's idiotic. Suggest you do very basic research & put the US equivalent figures adjacent, line by line. Wear a diaper when you do this, imHo.

Anyone who comes into a situation with set position approaches like K.Bass is doing is clueless. Shorts maybe, but balls only longs, especially looking to only long US ... that's just ... beyond moronic imo. No offense, just blunt. When they have to actually work[think] for themselves, they'll be out of business. :)

Great Dane's picture

Now, the printing of 100 trillion in yen seems hyper-inflationary to me considering that Mugabe in Zimebawae printed only 60 trillion and we saw what happened there.

svendthrift's picture

It isn't racism you see. It is an attempt to undermine Japan in the minds of the rest of the world.

Japan is an example of how the neo-liberal/con paradigm is junk. It must be attacked and undermined.


Japan can issue money and wipe off the debt.


The debt is meaningful only as long as a state is willing to pretend it is meaningful.

zaknick's picture

Oh! She's super sensitive right now!


it's true that the 666 bankster elites never secured the southern border on purpose for lots of reasons most of them harmful to the USA but since your cheerleading of the empire that destroys these other countries is strong, WTF you bitches deserve it!


themosmitsos's picture

You're a moronic troglodyte if you've walked away with a pro-US feeling from my post. In words *you'll* understand, you're a dumbass too

Jim Quinn's picture

Pointing out that Japan's population is aging rapidly and will lead to a 25% reduction in their population by 2050 is racist?

You need to take a pill dude.


themosmitsos's picture

That's not what I said. Excluding demographics breakdowns from *any and all* US analyses whilst continually including them when discussing the EU & Japan however, *IS* racist [not necessarily by you-nor here, but the pattern, of which you’re a part of] ... especially since the impact of said demographics will arguably be more significant in the US:

Show me that analyis of yours, the one that's as blunt about US demographics' impact. Where you talk about the first Black president handing out trillions in welfare to his  black & latino constituent base—that’s demographics too, and of a MUCH larger size than ¥55T. Show me them balls to discuss those demographics.

Also, I notice you didnt argue my numbers, or my main point about the US’s fiscal position, comparatively. And that’s precisely the point, let’s talk about Japan or the EU. This is all just about the disaster [or the PIIGS], it’s got nothing to do with the fact Japan’s about to dump USTs. Meanwhile, in reality, aaaaall the Japanese slush *PLUS* all the EU/ECB slush is *still* not equal to TARP+bazooka.

Moreover, I didn’t see anybody talking up the demise of the US when they printed an additional $950B ~Christmastime, and that’s just ONE US program recently, ALSO bigger than either Japan’s ¥55T [whatever it is now] or the ECB’s recent €500B. You didnt ring alarm bells about that, perhaps the Japanese & Europeans should’ve been smarter & called’em tax cuts huh?

This is all Japan-bashing, because they’re about to crush the US by not only not buying USTs but dumping them—this at a moment when China’s participation is questionable at best. And instead I’m reading a long post about how Japan’s economy will be destroyed, nothing about US IR or the fact that Gold is already >$1,400 going into this situation. One little sentence in the end. Endless rambling about where Japan will find the money, ONE little sentence at the END, which is the answer, and negates … most of your previous argument. EVERYTHING you said about the economic state of Japan can be said about the US[except demographics(partly)], except that it’s WORSE for the US *especially* with regard to the sickly American now-retiring baby-boomer; Japanese aren’t an ill people, they just need pensions. Americans need pills to pee, and pills to stop peeing. In the US the demographics problem is reversed PLUS a retirement savings problem of GREATER magnitude and the aforementioned strain on Medicare/Aid. Instead, it’s Japan that’s doomed. Closed immigration policies and demographics and all that ….

I’ll tell you what, I’ll calm down when I’m dead. When you talk about “waiting to be put down” and “harakiri” and “death spirals” at a moment when >10,000 Japanese arent even found let alone buried, those arent calm words. Those are night-of-the-long-knives words. So, let’s have at it: Your great American experiment of demographics, is only NOW coming into play. You got your immigrant, black president. The other side has Vladimir Fucking Putin. I know who I’ve got my money on. Talk to me when you’re ON FIRE in NYC, or at BEST when your affirmative action, pro-immigration & positive demographics multicultural, mutliethnic, mutlireligioius, multicolored, piece of shit "American stew" policies black president bankrupts the country with handouts to all the blacks & illegal immigrants with US college “degrees” [LOOOL! x2] & turns the US into the pussfilled asscrack of GuadalajarEnya [that means Guadalajara + Kenya—I’m guessing you’re US educated]. 

Instead, we talk about Japan, or how Ireland’s gonna crack the EU—the other AngloAmerican wet dream. Nothing about how California, world’s 6th largest economy is B.A.N.K.R.U.P.T.-er than any PIIGS or Japan, mostly due to illegal immigration, and how the fact that Mexicans are about to become a voting majority in California in the near future, and turn California into Baja Norte, or how Tejas will soon go California’s route & turn into Tejasihuaha. Those are demographics too, and I’ll bet I’ll *NEVER* find *that* analysis of yours, especially using cute little words like beans, & cocaine & weed to reference Mexican stereotypes, you fucking ASSHOLE.

Another American telling me to take a pill is a big, deep, compliment. Perhaps if I was medicated, like the rest of Americans, and needed a pill to sleep, or wake, or stay calm, or make my dick work, and vote for morons like Bush & Obozo like the rest of Americans; perhaps I could see things like you & other great American analysts or the celebrated UK crowd like A.E. Pritchard who all always convenienetly forget little fun tibits like … *annual* US Defense budget [in deficit] > Japan’s ¥55T or ECBs recent slush; or that US has run a cumulative deficit JUST THE PAST THREE YEARS that exceeds the total funding needs for Japanese retirement. Let alone the next three which’ll each be >$2T/yr; or how many Americans are on “pills” like you want me to take, and a comparative analysis of it’s impact on Medicare vs it’s Japanese or EU counterparts. That’s demographics. Never seen that. Never seen an analysis by you or other Americans of the impact of illegal immigration on US Education prices. That’s demographics too. I could go on, but I’m done thinking FOR you.

The point is, you bring a type of viciousness here to this analysis which, people who put these out, never analyze the US in the same harsh terms. I wouldn’t respond this way to Gonzalo Lira for ex, he brings it, best he can, fair & square across the board. And Tyler is so prodigious, so I apologize beforehand if you have/do put that kind of thing out—I’ve missed it. But I just find myself disagreeing with you often, and what you’ve done here

IS THE ANALYSIS EQUIVALENT OF THOSE PEOPLE CHEERING IN THE MIDDLE EAST WHEN THE TOWERS WENT DOWN. Get it? And you DID say “pony needing to be put down.” FYI. You’re not the only one.

Ever since that cocksucking assfarmer Keith McCollough went on CNBC and said he was happy about the disaster because he was short the NIKKEI and Kudlow responded by talking about how the economic cost outweighed the human cost, my tolerance for this kind of bullshit is ZERO, I admit.

There’s still some people that can reason around here, and if you didn’t want to be challenged, especially when you’re wrong, go post where you can talk to yourself & the rest of the fauxgnoscenti. The problem isn’t that I need a pill, it’s that all of you are on one.

Ps: a guy like you oughtta know what an arb is. For Christ’s sake.


gordengeko's picture

"The problem isn’t that I need a pill, it’s that all of you are on one."

Instead of calling them people (beit ones in control of the planet, their minions and/or the willfully ignorant portion of the soon to be culled rest of the herd) I prefer pyschic vampire soul sucking maggot.

Good show of emotion, shows you are still in fact human. 

themosmitsos's picture

Psychic vampire soul sucking maggot LOOL! And thanks, but I'm not shooting for human. I'm shooting more for ....

;) Come find me

Jim Quinn's picture

I think you picked the wrong week to stop sniffing glue.

Jim Quinn's picture

You don't know shit about me. I've written 150 articles over the last 2 years and 140 of them talk about how fucked the US is. So don't give me your racist bullshit about me picking on the Japanese. You are a long winded bullshit artist.

themosmitsos's picture

Please link me to a demographics & debt article of yours about the US, in similar vein to this one then

And the only bullshit here, is your "analysis" which I'd need to glue to go along with.

Also, since you're too DENSE to get it, demographics INCLUDES race dummy. I didnt start this, YOU did, dont call me the racist. So, 140 articles. SHOW ME


that discusses & analyzes the US in a similar vein, as you've done here, re: Japan.

ONE. Idiot. Prove it.

themosmitsos's picture

As a product of US education, I know you're a little slow. Link me to ONE similar analysis of the US, that includes demographics. Because I'm sure you always do re: Europe, and Japan. JUST ONE. Shouldn't be that hard. ONE that discusses for ex, JUST FOR EX., the immigration policies of the US instituted by the pied-piper of Republicans, the Gipper, allowing ~1m Mexican immigrants/yr into the US since ~1980, and the current unemployment rate. But that's MY example. Since you analyze the US on equal terms, show me ONE US analysis of yours with the same hard-hitting style that includes demographics. JUST ONE.

Then make it during 9/11

TIMES TEN. Get it? Dummy?

Link me YOUR choice, so you dont say I looked at the wrong one, like you're doing here

Jim Quinn's picture

I'm not your fucking nurse maid. Read em all and learn something you long winded dickhead.