We're there any major differences among standard economic KPIs the last time the JPY/USD exchange rate was at this level? If so, what were they? What can we deduce from these differences?
The last time was 1990. I've written several posts noting the longterm declining competitiveness of japan's exporters and the offshoring of others. So, for any given level of the trade balance, Japan needs a weaker real effective yen.
That's a good KPI to watch. Thanks for sharing this perspective. While it's anyone's guess, perhaps it would be possible to calculate how low the yen would have to fall to address the long-term competitiveness of Japan's exporters.
The last time it was this level was in 1990. I've written several posts on the declining competitiveness of Japan's exporters and therefore that the yen has to become increasingly weak in real effective terms for any given level of the trade balance.
We're there any major differences among standard economic KPIs the last time the JPY/USD exchange rate was at this level? If so, what were they? What can we deduce from these differences?
The last time was 1990. I've written several posts noting the longterm declining competitiveness of japan's exporters and the offshoring of others. So, for any given level of the trade balance, Japan needs a weaker real effective yen.
That's a good KPI to watch. Thanks for sharing this perspective. While it's anyone's guess, perhaps it would be possible to calculate how low the yen would have to fall to address the long-term competitiveness of Japan's exporters.
The last time it was this level was in 1990. I've written several posts on the declining competitiveness of Japan's exporters and therefore that the yen has to become increasingly weak in real effective terms for any given level of the trade balance.