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Land of Rising Debt: Falling Tax Revenue Forces Japan to Sell More Bonds
Money Morning ^
| 10/21/09
| Bob Blandeburgo
Posted on 10/25/2009 9:35:56 AM PDT by TigerLikesRooster
Land of Rising Debt: Falling Tax Revenue Forces Japan to Sell More Bonds
By Bob Blandeburgo
Associate Editor
Money Morning
Japans government will have to sell more bonds and grow the countrys record debt in the face of declining tax receipts.
The central governments tax revenue may fall below $442 billion (40 trillion yen) considerably less than the $439 billion (46 trillion yen) forecast a year ago, Japanese Finance Minister Hirohisa Fujii told The Wall Street Journal.
This is due to the global recession that began last year, and we will deal with this through the additional issuance of government securities, Fujii said, suggesting in a report published in The New York Times that bond issuance for the current fiscal year could be 50 trillion yen roughly $550 billion or higher.
(Excerpt) Read more at moneymorning.com ...
TOPICS: Business/Economy; Foreign Affairs; News/Current Events
KEYWORDS: bond; debt; japan; tax
To: TigerLikesRooster; PAR35; AndyJackson; Thane_Banquo; nicksaunt; MadLibDisease; happygrl; ...
2
posted on
10/25/2009 9:36:17 AM PDT
by
TigerLikesRooster
(LUV DIC -- L,U,V-shaped recession, Depression, Inflation, Collapse)
To: TigerLikesRooster
"$442 billion (40 trillion yen) considerably less than the $439 billion (46 trillion yen)"
Foreign exchange rate problems with the math?
3
posted on
10/25/2009 9:38:51 AM PDT
by
Paladin2
To: TigerLikesRooster
Big Government bureaucrats must eat the same breakfast world wide.
Less taxes?
Don't cut spending, raise taxes!
Like that ever fixed anything.
4
posted on
10/25/2009 9:40:13 AM PDT
by
ASOC
(Cave quid dicis, quando, et cui)
To: TigerLikesRooster
Here we are in the same situation.
5
posted on
10/25/2009 9:50:57 AM PDT
by
wiggen
(Never in the history of our great country have the people had less representation than they do today)
To: TigerLikesRooster
This is due to the global recession that began last year, and we will deal with this through the additional issuance of government securities, Fujii said
They 've been issuing debt for a generation now. Their export driven economy has allowed them to continue with no real success. A good textbook example of why our own (US) policies cannot work with a service driven, import oriented base. This is not recent policy for Japan.
6
posted on
10/25/2009 10:07:15 AM PDT
by
allmost
To: TigerLikesRooster
Aren’t these the guys who are supposed to be buying our bonds?
Who’s buying theirs?
7
posted on
10/25/2009 10:41:16 AM PDT
by
seowulf
(Petraeus, cross the Rubicon.)
To: allmost
And exporting services fails when demand for services falls with economic slow downs and India can do it remotely more cheaply, too.
8
posted on
10/25/2009 11:05:45 AM PDT
by
tbw2
(Freeper sci-fi - "Humanity's Edge" - on amazon.com)
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