Showing posts from November, 2012

Proof Again Japan IS (Has?) Collapsing - Bank of Japan Posts ¥233 Billion Loss - Red Ink on Balance Sheet Hits ¥156 Trillion!

Update below

Hate to say I'm right... Well, actually, no. I am happy to say that I was right when I wrote, "Japan is Collapsing."

Today over at Zerohedge they posted an article that is just jaw dropping. Please refer to: Bank of Japan Posts Whopping ¥233 Billion Loss As Its Soaring Balance Sheet Hits Record ¥156 Trillion

But... but... a central bank can never lose money. Bzzzz, wrong. As it just so happens, the world's most tragicomic farce of a central bank, and one which is about to officially lost its (faux) "independence" and become a branch of the Japanese government if the up and coming PM Abe has his way, the Bank of Japan, just reported that in the quarter ended September 30, the Japanese central bank reported an operating loss of ¥183.4 billion, and a net loss of ¥232.9 billion. As a comparison, the loss in the same period in 2011 was "only" 91 billion. This is a harbinger of the total collapse that is the utterly meaningless capital tranche…

Yen Devaluation Called for By Financial Houses Now Becoming Japanese Government Plan? 18% Yen Devaluation on the Horizon?

In March of this year, I posted,

Yen Devaluation Now Imminent? Being Called by Major Financials! Get out of debt - Get your financial house in order now!  Whereby I cited and quoted major financials predicting a yen devaluation of up to 40%.
Some readers scoffed.
I doubt they are scoffing now, the predicted soon-to-be new government of Japan not only wants a 18% yen devaluation, they also want interest rates and inflation to go up about 2%.
Please refer to Zerohedge,Is An 18% JPY Devaluation The 'Best-Case' Scenario For Abe's 'New' Japan? In that article it is discussed how the coming government of Shintaro Abe thinks that Japan can return to the "Golden Days" if only they can (artificially) force the yen back down to ¥100 yen to $1 US dollar! Madness! How could destroying the value of the currency return the nation to economic health?
After twenty-plus years of folling around with the economy and propping up failed banks and businesses, haven't these clow…

Reflections on Hating the Rich and Evidence of More of it to Come

I recently posted a few articles about that examine, from a more practical viewpoint (meaning mine) how government deficit spending and high taxes are destroying the economy (add that to a rapidly aging society which is a problem in the United States but especially in Japan)... It seems obvious to me that anyone with a basic understanding of economics could follow the train of thought.

Me and my wallet
Nevertheless, it seems that far too many people do not. The first post of the topic was entitled Japan is Collapsing. I was writing about how the economy has fallen over these last few years and put the blame squarely on the shoulders of the Japanese government spending us into debt at 237% of GDP. I also pointed out that Japan now has over 15.7% of the population under the poverty line. I even backed up my article with commentary by Mish Shedlock.

Even with those facts, some claim that the fault lies with rich people or private industry. The last letter on that post I received, said this:

The United States and the West Are in Big Trouble. Japan is Collapsing and Why Corporations Pay For Schooling For Ex-Pat Children in Japan

(Update at bottom)

The United States and the West are in a world of trouble. I say this for probably not the reasons that you expect and are so obvious to most concerning debt and a poor economy. I say this because the USA & the West are in serious trouble due to poor schooling and with that, are you ready for it? The current hate of the rich and wealthy.

Send your kids to the best school you can afford
Yes. Far too many people in the west seem to hate the rich these days. It's a very bad situation and if this continues will certainly have seriously bad repercussions for all nations and even poor people. Why? Well, Karl Marx would be happy, but hating the rich translates into people thinking it is OK for the government to increase taxes and get more involved with wealth redistribution.

Folks, more government is not the answer. Government is the problem. If more government were a good solution to our problems then the Soviet Union would have been a very successful country. But they…

Japan is Collapsing

The financial situation just keeps getting worse in Japan...

I send my son to a very exclusive international private school in Tokyo. It is very expensive too. So expensive is it that just about every family who sends their kids there has their company foot the bill for tax reasons. Me too. I could never afford it; the company pays. If the company didn't pay, he'd go to public school and get a crap education.

At that school there are so many children of foreign ambassadors and the bosses of big Asian and Western companies that the list is like a who's who of Fortune 500 company children.

Then there is our family. I drive a used Toyota four-door and most of the other parents drive new Mercedes Benz or BMW's with the occasional Saab running around. Many children have chauffers drive them to school. 

Not my kid. He's stuck with his hung-over and disheveled and unshaven dad behind the wheel every morning.

Our family is like a desert island in an ocean of opulence at that sc…