Fear and Loathing in Japan: "Most Tokyoites Wearing Respirator Masks Against Fukushima Radiation!" - Simple Historical Guide to Japanese Face Masks

In a quick follow up to yesterday's post about the totally unfounded, foaming at the mouth, stark raving mad rant about how the Japanese government has "secret plans to evacuate 'the 10 million people living in Tokyo'" due to Fukushima fallout - uh, psst! Don't look now, but there's at least 35 million people in Tokyo. (Please refer to Sensationalism, Scare Mongering and the Nanny State) I found this very interesting letter from some guy ranting about nuke fears in Tokyo that just goes to show how completely maniac and irrational people are when it comes to fear of the unknown (radiation and nuclear power). Well, I think it has to do with the fear of the unknown as all that sort of thing seems to make people so slobbering crazy. 

You know like, "Who knows what fears lie in the hearts of men? The shadow knows!"

Here is a totally hilarious and comical letter from some guy that I found yesterday. This really reminds me of something that an absolutely clueless dork would write about Japan: Get a laugh out of this:

"I just returned from a 9 day business trip to Tokyo Japan and most people in Tokyo are wearing respirator masks outdoors. They are very nervous and scared, and rightfully so. I was able to bring with me a thumb size miniature Geiger Counter, a bottle of KI03, and 2 masks for good measure. The Japanese government has made it illegal for Japanese to purchase Geiger Counters for personal use claiming they are made in the U.S. and are inaccurate. Now there is a steaming pile of freshly laid B.S.! I also brought my own freeze dried food and water. I’m not taking any chances, it is serious business over there."

Great. Just great. I wonder if this is real or just the imagination of Gomer or Goober fresh off the boat from bumf*ck Iowa? This can't be real, can it? For one, I just checked on Amazon Japan and they have dozens of Geiger counters on sale... You need me to buy one for you?

Scene at Narita. Customs Officer: "Is this your luggage, sir?"

Hillbilly: "Yes, sir. The Igloo cooler with the duct tape... That's mine!"  

To change the subject for a moment, when I was a liasion between foreigners and Japanese for a Japanese company in 1984, there was this guy that they had hired from the mid-west of the United States. He had been in Japan for only two months or so but we had to send him back to the USA because he had fallen into serious clinical depression. He couldn't function at all. Poor guy. One day he came to see me and admitted that Tokyo wasn't what he expected at all and he wanted to cancel his contract and go home. What did he expect Tokyo to be, pray tell? He told me that he had thought that in Japan that there would be samurai and geisha running around and when he came to Tokyo and everyone was wearing business suits and it was a big city "Like New York city with Chinese people" (his words, not mine) he couldn't handle it. Unbelievable, yeah? True story!


But I digress...


Look at that nonsense that guy wrote. Hard to believe that such a clueless person could be sent to Japan for "a business trip" which makes this letter very suspect. This guy is totally silly or he is hawking goods... Or, maybe he is a great science fiction writer and comic book genius like my friend Andrew at It's a Wonderful Rife!

Well, I'm not sure about people being scared and nervous in Tokyo. It sure seems to me that the average person here is completely oblivious to the dangers that lurk around the corner. But the claim about, "Most people are wearing respirator masks outdoors" is laughable.


No, they are not.  Let me demonstrate for you. They say a picture speaks a thousand words. 


This is a respirator:

This is a mask:

Now, I admit, there probably are people wearing respirators in Tokyo THIS VERY MOMENT (they work for the fire department and are trying to put out a fire). But I haven't seen any "regular people" doing so - and trust that most people don't wear respirators. Dumb-foreign-letter-writing-visitor-to-Japan doesn't know the difference between a mask and a respirator. Hasn't the guy ever been to a dentist? (Uh, judging from the teeth of the guy in the green shirt at the top - maybe not.)


Many, far from "most," Tokyoite Japanese are wearing masks. Why? Many people always do. They wear them so that they don't spread diseases or catch colds. This time of year there are a very many people wearing these things because it's spring. Interestingly, and a possible candidate for the next Ripley's Believe it or Not! Spring is also the time flowers bloom and weeds grow!!!... And, incredibly that means hay fever season! (Oohs and ahhs here, please)...


Off the subject again! One time I had a Japanese ask me if they had hay fever in other countries like America so don't think that it's only the Americans who have license to be absolutely clueless!


Take my wife, please! She has terrible hay-fever. This time of year she wears a mask all the time - even inside of the house. I wrote about that once in Spring in Japan. I've also written about dumb foreigners here in Stupid Foreigners in Japan - 97% of the Bad Apples Spoil it for the Rest of the 3% - When in Japan, Do As the Japanese Do In Spite of Yourself. That's who this article is for, actually... Dumb foreigners... 


This article does have redeeming and, I suspect, interesting content: It's the history of masks in Japan. The Japanese have been wearing these things for over a hundred years folks. I must admit that even I, in my supreme greatness - and as a half Japanese kid with a Japanese mom, was taken back by how many people wear these masks in places like Tokyo when I first arrived here (I thought they looked like bank robbers!) 


So, on that note, without further ado, may I present the Simple Historical Guide to Japanese Face Masks?


History of "the Mask":

Though masks were introduced from outside of Japan in the 1870's, actual production of these sorts of masks began in Japan in 1912 in the Taisho period. Masks were made for industrial use. They were cloth with a brass mesh. This brass mesh would rust which called into question the durability of the product. They didn't become popular amongst the general public until 1919.

In 1919, the masks began to be used by the general public due to the 1918 Spanish Flu Epidemic. Due to this epidemic overseas, the use of the masks in Japan by the general public boomed. Manufacturers could not keep up with demand (this still happens sometimes).

In 1923, the masks became indelibly a part of Japan after the Great Kanto Earthquake that devastated Tokyo and the subsequent fires, and tsunami, left over 182,000 people dead and another 40,000 missing. This caused a great fear of diseases and, as said, these masks then became a part of Japanese life forever. Soon after, a smart businessman named Takeshi Uchiyama made a patent for the "Soo mask" and became the number one seller of masks in Japan. Hooray for the free market!

An industry is born:


In 1933 and 1934 Influenza ravaged Japan and the world again. Once again, with the illness came a boom in mask use. As the years went by, the technology and designs of these masks became more and more advanced and, in 1948, the design using a single wire to bend to fit one's face was made and it's been basically the standard that is in use until this very day. 

CLICK ON IMAGE FOR LARGER VIEW

Boxes of cold remedies from the past. You can see that, in some pictures, the insinuation is that the cold medicines will allow one to remove the masks. 

Now, as everyone knows, the Japanese are world famous for cleanliness. You can see it in their streets and in the city. Even public bathrooms in Japan are much cleaner in general than what you see in the west. Many of the home toilets automatically flush or rinse one's derriere. There's even ones that open and close the covers and seats for you.


In public restrooms, women will often rinse off the knobs of the washlets for the next person. This doesn't disinfect them, of course, but it shows a courtesy that is uniquely Japanese. 

CLICK ON IMAGE FOR LARGER VIEW

You'll often see Japanese wearing masks on trains and in the office as they do that as a matter of courtesy to other people too; they don't want to spread, nor catch colds... Every year, from about March to May and again from September to November and again during flu season, you will see a boom in people wearing these masks... And, during those times, masks might sell out... Especially if the mass media is spreading fear as in the case of the H1N1 flu that was supposed to kills millions of Japanese but wound up killing one old lady in Kyushu.


So when you come to Japan, Mr. or Mrs, Foreigner and you see Japanese people wearing masks, fear not! They most likely aren't doing it because of radioactive fallout or because they are about to knockoff a bank... It's probably not quite that exciting. They are wearing those masks because they have a runny nose, a cough or they don't want some old geezer on the train sneezing at them... The Japanese wear masks because they want to or have a need to; it's considered polite, proper courtesy and considerate to others. Thank god that many manufacturers offer many types and the sufficient amount to meet the consumer demand of the Japanese public.


If you do worry about nuclear fallout from Fukushima when you visit Tokyo then may I suggest not coming here at all or, if you must, at least get some rabies shots before you arrive. We already have a big enough problem with rabid, foaming at the mouth people as it is.

Much historical reference taken from www.mask.co.jp - Thanks!

Sensationalism, Scare Mongering and the Nanny State

The article screams that the Japanese government has plans for evacuating 10 million people from Tokyo because of Fukushima... Yeah, right! If it were so bad, then why only 10 million? There's are at least 35 million people in Tokyo.

There is still way too much sensationalism and frankly speaking piss poor writing going on about Fukushima. I found one of the worst examples I've seen in a long time today. This article's title is suitable for a gossip weekly magazine on some US supermarket check out counter along with the Hillary Clinton Adopts Alien Baby story. The title lays bare to the low quality of writing held within: It's Not Over: Government Plans for the Worst: Forced Evacuation of Tokyo. The article goes on stating that the nuclear problem is out of control, cannot be controlled and the Japanese government has plans to evacuate ten million people from Tokyo.


Laughable.


Folks, the situation in Fukushima is bad enough as it is without some fools scare mongering. Allow me to go through this with you and point out some of the gross absurdities within. The article from SHTF will be italicized and highlighted in yellow. My comments will be added.


It's Not Over: Government lans for the Worst: Forced Evacuation of Tokyo 

While it has for the most part disappeared from mainstream view, the Fukushima nuclear disaster is anything but over. In fact, the situation in Japan has gone from bad to worse.

Bottom line: There is no way to contain the radiation.


Well, if saying that "There's no way to contain the radiation" isn't a give away for more sensationalism to come then I think I need some rabies shot before I go on reading further. As I said, at the plants in Fukushima, things aren't all roses and in many cases pretty bad especially with leakages that, by the way, have been reported to have been plugged (so maybe they can be contained?) Also, judging from the background radiation levels in Shinjuku, Tokyo measured daily, those levels are one half of what they were one year ago.

Even more alarming is that the U.S. Nuclear Regulatory Commission (NRC) and other agencies have warned that the nuclear storage pools (the containment units that are being used to cool the nuclear fuel) have been damaged and may collapse under their own weight.


"May" collapse? Well, I may win the year-end lottery too!

Such an event would cause widespread nuclear fallout throughout the region and force the government to evacuate the nearly 10 million residents of Tokyo and surrounding areas, a scenario which government emergency planners are now taking into serious consideration.


This paragraph is a dead giveaway that the writer doesn't have a clue as to what he is talking about. Tokyo constitutes over 51% of Japan's entire GDP. There are over 35 million homes in the Tokyo metropolitan area alone. Two questions for this writer: Where in the world did he come up with this incorrect information of "10 million residents of Tokyo"? and even if this were correct, where, pray tell would these people be sent? He goes on:

Leading Japanese newspaper The Mainichi Daily News reports:

One of the biggest issues that we face is the possibility that the spent nuclear fuel pool of the No. 4 reactor at the stricken Fukushima No. 1 Nuclear Power Plant will collapse. This is something that experts from both within and outside Japan have pointed out since the massive quake struck. TEPCO, meanwhile, says that the situation is under control. However, not only independent experts, but also sources within the government say that it’s a grave concern.

The storage pool in the No. 4 reactor building has a total of 1,535 fuel rods, or 460 tons of nuclear fuel, in it. The 7-story building itself has suffered great damage, with the storage pool barely intact on the building’s third and fourth floors. The roof has been blown away. If the storage pool breaks and runs dry, the nuclear fuel inside will overheat and explode, causing a massive amount of radioactive substances to spread over a wide area. Both the U.S. Nuclear Regulatory Commission (NRC) and French nuclear energy company Areva have warned about this risk.


Lots of "ifs" and "the possibility" of disaster...

A report released in February by the Independent Investigation Commission on the Fukushima Daiichi Nuclear Accident stated that the storage pool of the plant’s No. 4 reactor has clearly been shown to be “the weakest link” in the parallel, chain-reaction crises of the nuclear disaster. The worse-case scenario drawn up by the government includes not only the collapse of the No. 4 reactor pool, but the disintegration of spent fuel rods from all the plant’s other reactors. If this were to happen, residents in the Tokyo metropolitan area would be forced to evacuate. (emphasis mine)

This hits the crux of the problem. That last two sentences that I highlighted. They speak of the worst case scenario. This is the worst-case scenario drawn up by the government. 

I looked for the link to the original article and it doesn't exist. That's OK, though I found a cache. Then I tracked back to the original Japanese language transcripts and broadcasts.

Admittedly, they say the same thing as this sensationalist articles says, yet in a slightly different vein. The jist of the original Japanese is "If there is another huge earthquake, then the pools might collapse." They are indeed speaking of worst-case scenarios. Nowhere in the original articles do any of the experts consulted claim that this will happen. Everyone says "if"... 

Well, if I win the lottery too... If we have another 9.0 earthquake...

As far as evacuation claims, I could not find any information to that effect at all. Though I would consider that, even in the USA, there are evacuation plans for all sorts of scenarios... For example; If the Russians fire nuclear missiles; if there is a nuclear attack on a US city; if terrorists poison the water supply, etc., etc.... Gosh! There's goes that pesky "if" again.

It's all a part and parcel of the culture of fear that is pedaled by the government and media nowadays as news. 

This article was full of "what ifs". But, here's some facts:

144 workers and employees died at Chernobyl within 6 months of the event due to radiation. More than one year after Fukushima two guys dead from the tsunami, one guy dead from a heart attack, none from radiation.

As I have pointed out, the 10 million Tokyo residents number doesn't add up no matter how you slice it... Think about it.... Sure government wonks probably have plan for something like this (they also had a plan to blow a hole in the side of the nuclear reactors up with US military explosives in order to cool them down but Dr. Strangelove was out voted)... Doesn't the government sit around and make plans and committees to think up ways to screw up and spend money?.... 

This sensationalist article is full of conjecture and scare mongering... I'll bet it works good for selling products.


In fact, in some of the original article links, there are links to a daytime women's talk show where an "expert" appeared. Here's the video. Have a Japanese watch it with you and explain what is said: 

This is a morning women's talk and gossip news show on TV Asahi. For your information, few people take TV Asahi as a serious news station as Asahi TV is owned by Asahi Newspaper. Asahi newspaper is traditionally a leftist and pro-socialist publication - it has been that way for 100 years and supports the socialist parties and even did so with communist parties in the past. 

As with American morning TV talk shows such as Good Morning America and the like (we have them in Japan too - witness the above), then if you wish to trust this sort of women's gossip and news program as a news source, then you must have believed that Saddam Hussein had nuclear weapons so the USA had to invade, a man in a cave organized 9/11, America the brave went into Libya, Iraq, Afghanistan and the rest of the middle east to bring those folks democracy and freedom.... Sure.

I like the SHTF reports (well sometimes) but they don't do sensationalism from Japan well - especially since they don't speak the language so they can't verify their sources and they obviously are not knowledgeable in the history of media in this country and why some publications and news services have a leftist or rightist slant. 


But, if you check the SHTF website you see that they sell survival gear and have been selling and promoting the end of the world since 2007. So well have they done this that they've predicted 11 out of the last 1 disasters.


Far be it from me to tell you not to be prepared or get ready for a financial calamity or natural disaster... But business can't be so bad for SHTF that they need to stoop to this level of reporting could it?


Sensationalism sure sells stuff... its track record on reporting the truth is pretty shockingly bad though.

Live in Japan? You Owe More Than ¥7 Million Yen - And Your Debt is Skyrocketing

I've been writing a lot recently about the terrible financial situation Japan is in and how I believe that this situation is coming to a head soon, possibly by this summer... I think the best analysis was in Japan's Collapse Will Be Absolute and It Cannot Be Stopped - Here's some Big Reasons Why.

Bugs predicting Japan's economic future

Recently, the Internet chatter about Japan's imminent collapse has been increasing exponentially. Many news sources and many other writers seem to be agreeing with me... Or, perhaps I should say that I agree with them... They are all probably smarter and richer than I am. Why just today, once again, another article was sent to me entitled, The Japanese Party is Ending that warned about a possible hyper-inflation scenario for Japan just around the corner and it could be possible that Bank of Japan is intentionally pursuing a plan to devalue the yen.


Even though I write about these things constantly and think about them a lot. I am just shocked that people I meet are so oblivious to what's going on. You'd think that the average person would care enough to know that their government has put each and every man, woman and child in Japan ¥7,632,897 in debt (as of the writing of this article). If you want to read more on that (please make sure you're sitting down when you do), refer to: Here Comes Europe's and Japan's Debt Crisis - Just in Time for Summer. There you can see a debt clock and other information that should wake you up.


Like I said, I'd say that almost everyone I meet either doesn't understand or doesn't care. I've met three people in the last month who knew what was going on... Trust that I meet a lot of people. Besides those three, most often express that they, "Hope that things get better."


Folks, when it comes to your and your families future and safety and security, "hope" isn't a very good business plan.


On that note, today, one simple lesson in why the Japanese government budget and deficit are such problems for you (if you live in Japan). First the relevant news as reported by Finance Nine:

Diet passes Y90.3 tril budget, adding to Japan's debt mountain

TOKYO — Japan passed a 90.3 trillion yen budget on Thursday, with about half the spending expected to be financed by new bonds that will add to Japan’s massive debt mountain.

...

Local media have reported that spending for the 2012-2013 fiscal year may be Japan’s highest ever, reaching more than 96 trillion yen when including extra public spending such as funds for rebuilding the nation’s northeast after last year’s earthquake and tsunami disaster.

About 49% of the budget would be financed by issuing new bonds, a plan fiercely contested by opposition lawmakers who are aiming to push Prime Minister Yoshihiko Noda to call snap elections, according to reports.

For those of you who are versed in this sort of thing and understand what bonds are and how much of a clusterf*ck situation Japan is in, you can stop reading this post right now and go back to doing something useful. This post is an explanation for the total and complete layman who doesn't - or can't - comprehend what this news means to them. Like I said, when I talk to people out and at work, I'm getting the impression that far too many people in Japan see this sort of news and these sorts of numbers and it just goes completely over their heads. 

This article is for people who don't understand why they should be near panic! Let me explain two very important points about this that you need to know. 

The two important points in this article are the amount of money at ¥96 trillion yen and an understanding of what a bond is. That's today's simple lesson in why the Japanese government budget and deficit are such problems for you (if you live in Japan). 

A trillion is a one with fifteen zeroes behind it. ¥96 trillion yen is this: ¥96,000,000,000,000,000. In US dollars that translates to: $1,160,000,000,000,000.00.

A lot of money. Too much too comprehend, isn't it? So let's now go to what a bond is. The simplest and best explanation for bond I could find was at allBusiness.com and the article is: What are Bonds and how do they work?

Most of us have borrowed money in our lives, be it to finance our college education or to ask the bank for a mortgage or auto loan. So just as people need money, so do companies and governments. One option for this money is to issue bonds in which thousands of investors each lend a portion of the capital needed.

What Is a Bond?

In essence, a bond is nothing more than an IOU. The organization that offers the IOU (the bond) is known as the “issuer,” while the purchaser is the “investor.” Because nobody would loan his or her hard-earned money to an unknown party for nothing, the bond issuer is required to pay the investor interest payments, which are made at a predetermined rate and schedule.

Please read that "What Is a Bond? again, "a bond is nothing more than an IOU." 

IOU's? Like in "totally useless and worthless pieces of paper?" This in a country that has a greatly aging society that is not saving, but spending savings and cashing in on bonds bought in the past? Who does the Japanese government think they can sell these bonds to? Working Japanese, the traditional customer for this market is now an elderly retired Japanese. Does the Japanese government think that they can sell these bonds to foreigners? 

Selling these bonds to foreigners is an interesting option. Problem is that foreigners will want competitive rates as Japan's rate are way below other countries. The foreigners will want much higher interest rates on those bonds bond yields. Problem with that is if Japan's interest rates rise to just 2% the interest payments on Japan's debts will surpass the entire expected tax revenue of ¥42.3 trillion yen.

Now, understand that the Japanese government and this country's gas tank is empty and running on fumes. The government wants to keep the party going and is expecting you - yeah, you if you live in Japan and are reading this - to finance an IOU to somebody in order to pay the debt on our debt and keep the good times rolling...

No problem, right? Not only do they want you to buy the IOU, when the money to pay back that IOU comes due, and they don't have it, you'll be forced to pay that back too.

I hope you have an extra ¥8 or ¥9 million yen in your piggy bank for each and every person in your family to pay for your high life and profligate spending!... But no problem, right? 

Let's just hope things get better.

Selling at Online Auctions Like E-Bay or Yahoo? Spellcheck!

That joke article about Japan being on sale at Yahoo Japan auctions reminded me of something I saw the other day: Someone had an item for sale on Yahoo auctions and they had spelled the name of the item wrong.

People who can't spell well need to be very careful when using online auction services to sell their goods. Why? Well, if they misspell the item that they are selling then people have a difficult time finding their goods for sale. Even though the search engines are getting better and smarter, incorrect spellings are still a really great way to lose potential bids


If people have a hard time finding the goods, then the seller will get few bids.


There are professional dealers spending lots of times searching these online auction site for people who misspell their items. Because, as I said, the item is misspelled, the seller will get few bids and will let the item go for a lower price. These professional dealers make offers at well below market value then, once the item is bought, turn around and sell it for a much higher price themselves.


So, you need to be careful when you use an online auction site. Always spell check....


Or, take this advice and here's a possible idea on how to start up a side-business from home in here somewhere. 

Entire Country of Japan Goes on Auction for ¥3 Mil. Yen (about $35,000)!

ヤフオク出品中！即決６９０万、２９０万円から入札可能，ただし落札者は日本の赤字の支払い義務が生じます！


They say that imitation is the greatest form of flattery so I hope the folks at Zerohedge will forgive me for, er, umm, flattering them so! Yeah. That's it! Flattering them! Over there they have a hilarious graphic showing the entire country of Greece on auction at E-Bay.


Absurd! Well, of course that would never work in Japan as no one in this country uses E-Bay. E-Bay came to Japan and failed like many other western countries did before them by not adapting their system to fit Japan and the Japanese mindset... But that's another story for another time.


In Japan, the online auction market is totally and completely dominated by Yahoo Auctions. 


Over at E-Bay, the starting bid for Greece was $1500.00 (USD) but Japan is far and away a bigger, better and more prosperous country than Greece so the price is a bit heftier but well worth the starting bid of about $35,000 (USD).


Check out the Yahoo Japan Auction page for the Wonderful Asian Paradise Auction! Japan!:

click on image for larger view:

Three days left and no bids?! Weird, eh?

There is, though, one tiny-weeny catch though... Beware the fine print! The lucky purchaser also receives the wonderful responsibility of taking over Japan's public debt of ¥1 quadrillion yen.


I'm sure the auctioneer might be guilty of mis-stating the debt on the graphic so let me explain for you:


¥1 quadrillion is a one followed by 15 zeros: ¥1,000,000,000,000,000 


In US dollars that would be about ¥12,000,000,000,000. In mere mortal terms that's 12 trillion dollars.


Will you be paying by cash, credit card or Paypal?  


Apologies to Zerohedge

Al Gore Admits that Man-Made Global Warming is a Farce

Al Gore fears rising oceans so much he buys $9 million dollar beach house right on the ocean front.

Maybe he wants to keep an eye on the rising tides from his living room?

They say that "Words mean nothing. Actions speak louder than words."


There's also an old saying that goes, "Having a jawbone is one thing. Having a backbone is another."


Or how about, "Put your money where your mouth is."


They also say that "Money talks. Bullsh*t walks."


From Zerohedge: Follow A-Gore's Example (it's really going to be all right!):

Did you see the news that al-Gore purchased a $9M seaside mansion on the California coast?  Here is a great opportunity for us to look through the fog of his "watermelon" rhetoric and glimpse the heartfelt perceptions of one of our most brilliant politicians!  There is just so much here to dig into.

...

Next we need to consider the issue of ocean front property.  We all have been told that the sea level is going to rise or fall.  We all have been told the climate will become more dangerous particularly along the coastlines. Yet here is al-Gore plunking down $9M greenbacks on an ocean side house.  Now I must concede that the house is on a bluff so that a rising sea level might not be as great a concern.   Still we must reconsider our fear that the coasts will be ravaged.

Accept the stunning implication that al-Gore (the visionary) is a Steady Stater at heart!

Well, if actions speak louder than words and all of these very old saying hold true, like they usually do (that's why they are old sayings), Al Gore has just proven to us all that all his blather about man-made global warming was all a scam.

Ten years ago Al Gore was telling us that by now the coastlines would be sinking as the water levels rise as the glaciers disappeared by 2030 and melted into the oceans! 

Now, that wonderful optimist! Now, he spends $9 million dollars of his own money on beachfront property that is going to be swallowed up by the rising tides. What a hero!

Thanks Al for all you do and your sacrifices for the human race... 

Here Comes Europe's and Japan's Debt Crisis - Just in Time for Summer

A good friend of mine, John Shippen, who works in the investment banking industry in Japan, says he totally agrees with my take on the disaster heading toward Japan that I wrote about two days ago. Please refer to: Japan's Collapse Will Be Absolute and it Cannot be Stopped - Here's Some BIG Reasons Why. The only thing about that article that John seems to take umbrage with is my description that the "disaster is heading Japan's way." John says it's the opposite. He says that the disaster isn't coming, Japan is intentionally driving into it... He describes it as, "Japan is a bug that's looking for a windshield."


Hope you got a laugh from that. It's the only one you'll get from this post. 


On that note, an easy article this morning for you referring to the huge financial calamity that is quickly heading our way (or, if you prefer, we are heading full speed ahead towards!) If you live in Japan, better put down that coffee before reading this. Hate to spill!


First a few charts from Mish Shedlock about debt in Europe - Sovereign Bond Yields Sharply Higher in Spain, Italy, Portugal:

This debt crisis has terrible repercussions for the world economy and Japan. Reuters has a good article on it entitled: Europe Poses Global Recession Threat: IMF. The article is a good rundown of the debt problem but the solutions they offer of throwing money at the problem are completely wrong (Been there, done that. Didn't work)... For proof of that, just look at how well throwing good money after bad has done for Greece.


Looks bad. These things have a way of getting out of control. But Japan is OK, right? Because these European countries can't print their way out. Japan can. Let's look at a few charts there. Here's a chart that shows the world ratio of debt to GDP:

Here's one to show Japan's debt mountain in yen:

As an important note, as of 2009, the Japanese national public debt, according to my handy-dandy calculations equaled over ¥6 million yen per man, woman and child in the country (about $72,000 USD). That means that if every single one of us coughed up ¥6 million yen and paid off our total debt today, we'd still be back in massive debt tomorrow as the costs of running the Japanese government, social security and health care, etc., etc. are completely out of control.


As of the writing of this post, Japan's national debt according to the Japanese National Debt Clock is: ¥972, 133,157,539,777 (about $11.8 trillion USD) at debt of over ¥7.5 million per person (about $91,000 USD).

To see what the debt is now, at this moment, go see the Japanese National Debt Clock here.


But wait! Things are getting better, right? Wrong! Here's an article you might want to read from a the New York Times that asks the laughable question: "Could Japan's Debt Lead to a Crisis?" (Let me ask you: "Could the next Pope be Catholic?") But, like I said, that article is a year old. I add it because it is a typical example of the confused reporting emanating out of the MSM... "Everything will be alright as long as government's keep printing money! We have to save the system!"


Well, no. We don't have to save the system. We can't save the system. The system is a wreck.


Here's a much more realistic and sober account of the mess we're in from Global Economic and Market Analysis That Matters: Debt Crisis 2012: Forget Europe, Check Out Japan: 

In addition to the current Euro crisis which we discussed here and here, Japan, the world's third largest economy, could have its own debt crisis as early as 2012 bigger than the Euro Zone.

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So as long as Japan could keep financing a majority of its debt internally without going through the real test of the brutal bond market, the country most likely would not experience a debt crisis like the one currently festering in Europe.

But the chips seem to have stacked against Japan now.  On top of the new and re-financing needs, the Japanese government estimated that the economy will shrink 0.1% this fiscal year citing supply-chain disruptions from the earthquake and tsunami disaster in March, the strengthening of the yen and the European debt crisis.  Moreover, S&P said in November that Japan might be close to a downgrade.  After a sovereign debt downgrade to Aa3 by Moody's in August, 2011, it'd be hard pressed to think Japanese bond buyers would shrug off yet another credit downgrade.   

Burgeoning debt, coupled with the global and domestic economic slowdown, and continuing political turmoil (Japan has had three Prime Ministers in the last two years, and the current PM Noda’s popularity has fallen since he took office in September), would suggest it is unlikely that Japan could continue to self-contain its debt. 

I think, as I've said many times before.... The summer of 2012 is going to be a very hot one for Japan - as well as all around the world.