I know the US is taxed a lot too. But in your calculation, did you include the flat 10% residential tax on top? Extra tax for being 40 years old... Health care is mandatory and per head, more kids, costs more. If you want to freelance, you need to pay the employers part, things becomes a nightmare. Actually, I am not surprised since the US forced Japan to reuse their sick model. And the stagnation... LoL, all going to wall street and the military.. another country being robbed for 65+ years with pressure and interventions every decades since 1854
Please check your currency calculations in this article. For example, you state "¥13.5 million ($142,000 PPP)". With current exchange rate, ¥13.5 M would be about $90,800 USD. I see similar calculations throughout the article. This may or may not change your conclusions.
The real core reason was the destruction of Japanese international creditworthiness and international financial trustworthiness. Japan was from AAA ranking in financial assets dropping down to A/A+ level. This is very fatal for all Japanese companies as they need "trust" internationally to borrow money from global funds and foreign investors. This was the real reason why Japanese elites became risk averse because they don't simply have dollarized funds or foreign currencies to make massive investments as they did in the past. Germany is still far stronger than Japan in corporate power because of Germany's AAA ranking, while the US doesn't care much about credit ratings due to the exorbitant privileges of USD. Japan lacks both, and that's why you see the gradual decline of wealthy elites in Japan, compared to the rest of the world. High taxes are implemented to prevent the credit ratings of Japan sliding further as the country still has to meet international financial obligations to repay foreign loans that were incurred massively from prewar periods and bubble eras.
Chinese people in Japan laugh at the Japanese ideas of having 1 million USD worth of assets being ultra wealthy. In China, you must hit at least 10 million dollars worth of asset to be considered as rich which is the lowest level. Japan's dramatic decline is simply due to the permanent destruction of currency and financial power through the self-inflicted, damaging credit collapses of the 1990s.
I know the US is taxed a lot too. But in your calculation, did you include the flat 10% residential tax on top? Extra tax for being 40 years old... Health care is mandatory and per head, more kids, costs more. If you want to freelance, you need to pay the employers part, things becomes a nightmare. Actually, I am not surprised since the US forced Japan to reuse their sick model. And the stagnation... LoL, all going to wall street and the military.. another country being robbed for 65+ years with pressure and interventions every decades since 1854
Thank you for your analysis 🙏🏻
Richard,
Please check your currency calculations in this article. For example, you state "¥13.5 million ($142,000 PPP)". With current exchange rate, ¥13.5 M would be about $90,800 USD. I see similar calculations throughout the article. This may or may not change your conclusions.
Do you know what PPP stands for?
I do now. Thanks. Peace.
The real core reason was the destruction of Japanese international creditworthiness and international financial trustworthiness. Japan was from AAA ranking in financial assets dropping down to A/A+ level. This is very fatal for all Japanese companies as they need "trust" internationally to borrow money from global funds and foreign investors. This was the real reason why Japanese elites became risk averse because they don't simply have dollarized funds or foreign currencies to make massive investments as they did in the past. Germany is still far stronger than Japan in corporate power because of Germany's AAA ranking, while the US doesn't care much about credit ratings due to the exorbitant privileges of USD. Japan lacks both, and that's why you see the gradual decline of wealthy elites in Japan, compared to the rest of the world. High taxes are implemented to prevent the credit ratings of Japan sliding further as the country still has to meet international financial obligations to repay foreign loans that were incurred massively from prewar periods and bubble eras.
Chinese people in Japan laugh at the Japanese ideas of having 1 million USD worth of assets being ultra wealthy. In China, you must hit at least 10 million dollars worth of asset to be considered as rich which is the lowest level. Japan's dramatic decline is simply due to the permanent destruction of currency and financial power through the self-inflicted, damaging credit collapses of the 1990s.
Yes, see reply abovel