Japan's worst GDP data have far-reaching political implications

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Beelzebub at 09:47 AM JST - 21st May

Why bother to read political forecasts? The LDP-Komeito coalition has an unbreakable headlock on power and that is not going to change. Period. I got tired of reading inane predictions like this a long time ago when I realised they reflect no more than wishful thinking with absolutely no basis in reality.
GJDailleult at 10:03 AM JST - 21st May

‘‘Probably, the worst period is over.’’

Wish I had a buck for every time I've heard that over the last two years.
IvanCoughalot at 02:46 PM JST - 21st May

The MoF is rubbing its hands with glee about the fact that this flu hysteria has stopped the locals giving a second thought to any other news. Scare people about something else, and they won't hold you accountable for the shambles we're in.
Yelnats at 03:19 PM JST - 21st May

Who cares. Nothing changes politically here.
DickMorris at 04:23 PM JST - 21st May

Payback time after destroying millions of American jobs in the eighties by flooding the market with cheap shoddy goods.

Japan is in a dire situation, China is the mainplayer in Asia now and i wouldn't be surprised if Korea were second soon.
SushiSake3 at 04:31 PM JST - 21st May

Dickmorris - "Payback time after destroying millions of American jobs in the eighties by flooding the market with cheap shoddy goods."

What? Japan showed America how to make real cars. You know that. :-)
some14some at 06:26 PM JST - 21st May

Far from reaching political implications. This is fourth consecutive decline and double digit contraction for two consecutive quarters.
LIBERTAS at 10:33 PM JST - 21st May

32,249 suicides and counting. THIS is the far reaching human implications of a now proven-to-be-a-failure economic model. I suppose that a new industry might emerge: cleaning up the 100,000 plus industrial waste sites across Japan, fruit of the Japanese economic "miracle."
kyoken at 10:51 PM JST - 21st May

‘‘Probably, the worst period is over.’’

I would love to see the fortune teller license of Finance Minister Kaoru Yosano
mushroomcloud at 12:05 AM JST - 22nd May

Too many old people who are dependents instead of contributors to the Japanese economy will mean that, without export demand, Japan will contract even further, along with other Asian export intensive countries.
mushroomcloud at 02:50 AM JST - 22nd May

Japan's economic survival is basically dependent on the strength of the US and Chinese economies, markets for which Japan exports heavily to.

"With consumer spending sluggish amid the worsening job situation, Japan's battered economy still has no choice but to rely on a recovery in external demand, especially in the United States and China."

http://www.asahi.com/english/Herald-asahi/TKY200905210023.html

Policy coordination between the US and China, the so-called 'G-2', will be needed in order to lift the world out of these tough economic times, according to Treasury Secretary Geithner:

"Geithner cited as signs of change China's aggressive measures to stimulate domestic demand and its acceptance of an appreciation of its effective exchange rate.

He appears to believe that China is fulfilling its role as a force for stability amid these critical economic times.

Those comments indicate an interest in and expectation for policy coordination related to management of the global economy between a Group of Two--the United States and China."

http://www.asahi.com/english/Herald-asahi/TKY200904230050.html
mushroomcloud at 03:01 AM JST - 22nd May

Again, referencing an exclusive interview with Treasury Secretary Geithner, Japan's GDP will be best served with the hope that it can contribute it's weight on policy direction within the G-7 forum.

"While Geithner said the G-20 and the G-7 would be "complementary forums," he may envisage the G-2 playing a central role in both forums."

Lastly, YOICHI FUNABASHI, Editor In Chief of the Asahi Shimbun, chimes in:

"It should not be forgotten that one reason the United States is moving toward the G-2 is the weakening economic power of Japan and the absence of a viable macroeconomic policy initiative by Tokyo."

http://www.asahi.com/english/Herald-asahi/TKY200904230050.html
pathat at 07:35 AM JST - 24th May

Japan's economic power has been weakening for nearly 2 decades now. The head-in-the-sand policies of the ruling LDP and its cohorts have made the inevitable a little slower to arrive, but the ultimate damage will be far worse through their mismanagement of the country.

The DPJ has no answers to the economic and political quagmire Japan finds itself in, so it will be business as usual for the foreseeable future, even if the DPJ wrests control of the Diet from the LDP later this year.