Japan’s economy

  • Could the Republican Defeat Burst the AI Bubble and Then the Treasury ?

    Since the midterms, most of the attention has been on what comes next for the Trump administration, from investigations into alleged corruption to possible impeachment. But another question is just as serious：is there a possibility that a Republican defeat could burst the AI bubble and trigger a financial crisis like the one in 2008? . The first domino may already…

  • The Excessively Weak Yen—The Cause of Japan’s Apparent Contraction

    These days, talk of Japan’s decline is everywhere. By 2027, we are told by IMF, even Britain will overtake Japan in GDP, pushing it down to sixth place in the world. Or Japan already ranks around 35th in GDP per capita, so the country is finished. These gloomy conclusions arise from converting Japan’s GDP into dollars and comparing it with…

  • U.S.-China Rapprochement Is Good for Japan

    Akio KAWATO Former Japanese diplomat . Chinese President Xi Jinping made a state visit to the United States on September 23–25. In Japan, there was considerable commotion over President Trump greeting him at the airport and emphasizing in his welcoming remarks that the United States and China had been allies during World War II. Some people even rushed to conclude…

  • Secure the Strait of Hormuz by Charging Tolls

    Navigation is becoming dangerous not only through the Strait of Hormuz, but also through the Bab el-Mandeb Strait at the entrance to the Red Sea. This is intolerable for both oil-producing nations and trading nations. Nor does the United States military appear to retain the ability to secure these waterways by force. . If military force cannot solve the problem,…

  • The Postwar World and the Shifting Currents Beneath It

    (This is a slightly revised version of my article to be published in Newsweek Japan on September 8.) . The Post-Cold War Era and the Expansion of American Power . The international situation today can broadly be described as the “post-Cold War” era. The Cold War between the United States and the Soviet Union, which divided the world for decades…

  • A World History Free from Both Eurocentrism and Orientalism　3

    (The source text of this series is “In Search of Lost Modernity” by Akio KAWATO. The English edition of this book (originally written in Japanese) is on https://docs.google.com/document/d/1hiRK7kjbX0Hxd2NOxPqtQlVWgjDHgKCr/edit https://docs.google.com/document/d/1MB0Me9P5Lpa2HGceuJUdMqqQ2CRHQSxa/edit The copyright belongs to the author, Akio Kawato . This installment highlights what the author considers to be the most important aspects of Mesopotamia. While ancient Greek civilization drew many of…

  • A Yellow Warning Light Is Flashing for U.S. Finance

    A yellow warning light is now flashing over America’s financial markets. Excessive Treasury issuance has been driving up long-term interest rates. This could lead to a sharp decline in Treasury prices, a fiscal crisis, and a loss of confidence in the dollar. It could also trigger a stock-market crash, severely reducing the wealth of America’s middle class. . Treasury Secretary…

  • Will China’s Humanoid Robots Replace the Chinese?

    Chinese humanoid robots that can run, jump, and perform all sorts of acrobatic feats have been attracting a great deal of attention lately. Watching them, one might even begin to wonder whether the day will come when China’s 1.4 billion people themselves are replaced by robots. Well, that is a joke. But what, then, has happened to Japan, a country…

  • Could U.S. Treasuries Take a Tumble in September?

    Simon and Garfunkel used to sing: August, die she must, The autumn winds blow chilly and cold, September, I’ll remember, A love once new has now grown old. Are the U.S. treasuries following a similar fate? . The amount of outstanding U.S. government debt has now grown to slightly more than one year’s GDP. When Treasury securities mature, the government…

  • Rethinking Japan’s Place in a Rising Asia

    (This article appeared in Newsweek Japan on August 18.) On August 8, news broke that both South Korea and Taiwan had surpassed Japan in exports during the first half of this year. Since the mid-1990s, I had already grown weary of hearing the world sneer that “Japan is finished—even in Asia.” This latest news felt almost like the final blow.…