DPJ split looms over tax bill vote

Economists say raising the retirement age, cutting pension benefits and raising the share of medical costs to be borne by patients are unavoidable in any serious bid to fix finances.

It is unclear when such reforms may get on the political agenda. The tax compromise referred a debate to a cross-party body still to be established and politicians have shown little appetite for such a debate.

Well, naturally. Where would the LDP get its money and votes from if all its supporters got their pensions cut and had to pay higher medical bills?

Media have speculated that around 50 Ozawa followers could break ranks

Yesterday it was 60.

Ozawa, you should look in the mirror more often. Your head is getting bigger and bigger just like your ego! Not even your wife would stand by you anymore! Those 50 or so party members close to you is all you have left so go form your new party. Form it today for all I care but ffs stop interfering with politics to feed your ego and your wallet!!

and at the same time how about you not only stop giving 'loans' to other countries. But also stop writing off the loans that countries owe to us? Why are you raising taxes to deal with our deficit saying we need to raise taxes, we need to make cuts. But then we see our taxpayers money (which we supposedly don't have) being sent to other countries! Its a right slap in the face if I'm honest. Especially when our country is in both a financial mess and the mess up in Tohoku.

Christ we can't even seem to have power running 24/7 during the summer months!

Japan's gross public debt is 1000 trillion yen, but it has 500 trillion yen of assets. How much does Japan have USTB and US municipal bonds? Deduce it from the gross debt as internationally practiced in assessing a national debt, then the net debt amount is 500 trillion yen lowering the ratio of the debt to GDP (467 trillion) down to 107% from 214% which the Finance Ministry and IMF as well as BNP Baribas and Moody's Investors Service so alarmingly screech in gross perfect harmony. The actual fiscal condition is not so different from that of the US or Germany. Seeing as Japan's national bonds are selling constantly and their interests are lowering, the market seems to be a bit more honest and cool than rating agencies.

Japan needs major surgery but given its natural instincts it will procrastinate and find swingeing cuts like the ones being implemented in the UK unpalatable. Some economists belueve Japan is at a point where it needs a major change of direction towards either a high-tax Scandinavian model or a less egalitarian US model. As long as we have procrastination and factionalism in government things will go on with a few ineffective bits and pieces here and there.

I think a rising retirement age will be very necessary in future years. Japanese are very long lived but retire relatively early. That has to change.

and at the same time how about you not only stop giving 'loans' to other countries. But also stop writing off the loans that countries owe to us?

Japanese aid is tiny compared to its debt problem. You could eliminate all aid/foreign loans overnight and the debt monster wouldn't even notice. I think it's fair enough that Japan try to help some other countries, especially ones like Burma that need assistance to avoid becoming a Chinese client-state.

Suppose your not a taxpayer here? Its annoying when we see cuts and the suffering going on up in Tohoku with hardly anything being done by the government. But then we see our money being sent to countries overseas.