Japan has the largest national debt relative to its economic output of any economy of the world 20o% of GDP and was set to reach 228% by the end of this year. Virtually all manufacturing activity has shut down. They are completely dependent on foreign oil. They have no natural gas, no oil and a very small coal mining capabilities.
The amount Japan needs to borrow this year is the kind of number that just makes you say "Holy shit" With the maturing debt that needs repaid and new borrowing to finance the deficit, Japan needs to borrow around a third of its $5.5 trillion GDP, excluding very short term debt, or more than half its GDP including short term debt.
Japan is virtually on the edge of total collapse of their economy now. Does this stop and make you wonder, with the debt the US is amassing and the future payments on it, what would happen to us if we had a disaster on of that magnitude? It will happen again, be it natural disaster or terror. And they want to just keep piling the debt on. The Japanese economy having operated on the keynesian model since the early nineties should serve as an example to the US. But apparantly it hasn't
Answer by gdiamante at 4:12 PM on Mar. 14, 2011
Answer by Charis76 at 4:16 PM on Mar. 14, 2011
How many 9-11 elevens do you think our economy could withstand now?
Probably not many at all, I was taking your words literally in the sense of a natural disaster that would have the same effects.
Answer by Charis76 at 4:30 PM on Mar. 14, 2011
Answer by foreverb3 at 4:31 PM on Mar. 14, 2011
Answer by jesse123456 at 4:32 PM on Mar. 14, 2011
Answer by Mom2Just1Kiddo at 4:42 PM on Mar. 14, 2011
Answer by jewjewbee at 5:38 PM on Mar. 14, 2011
Answer by smfell99 at 5:48 PM on Mar. 14, 2011