Yen went on a free fall to a 24 year low yesterday. It is the third largest fiat currency in the world. Japan is also the largest holder of US treasuries.

  • ednice
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    edit-2
    2 days ago

    deleted by creator

    • silent_water [she/her]
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      2 years ago

      there's a recession happening, it's global, the central banks can't avoid it by manipulating interest rates, and prices are going to rise throughout it for most of the world.

      • GundamZZ [he/him]
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        2 years ago

        Reading this Zerohedge piece on it, it seems like Japan's been buying back bonds by a large amount since 2013. Exactly one year after Shinzo Abe returned to Prime Minister. His Abenomics was basically an inverse of China's 5 year plans where instead of investing in infrastructure and real wealth generation (i.e. productive capacity) it's made it easier and necessary for companies to financialize and rip more value from workers in Japan and maybe a mild amount of automation of labour.

        Specific image: https://assets.zerohedge.com/s3fs-public/styles/inline_image_mobile/public/inline-images/JGB%20purchases.jpg?itok=_d64GLzD

        Article: https://www.zerohedge.com/markets/japan-verge-systemic-collapse-dramatic-unpredictable-non-linearities-financial-markets-bank

        I remember reading dipshit Noah Smith try to defend it on the Japonisme website and even he couldn't really make a good case for it outside the usual neolib doubletalk. According to some writing by Michael Roberts Japan's income equality, etc. has all gotten worse over the past 2 decades, especially under Abe, and they can only ride the wave of western imperialism to buttress their consumption. The output of workers in Japan is half that of workers in the US or something. I don't see how they can continue this system they have, it's just constant decline and I don't know if they can keep printing money to buy back bonds forever.

        • scraeming [he/him]
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          2 years ago

          The output of workers in Japan is half that of workers in the US or something

          That's what happens when your country obsessively protects its dinosaur corporate entities to the point that they still use fucking fax machines in the country with the reputation as the most technologically forward-thinking place on the planet. Japan's had an issue with being so hyper-focused on the idea of "if it ain't broke don't fix it" for so long that they rewrote what "broke" means to continue to avoid fixing anything.

          • emizeko [they/them]
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            2 years ago

            it's comical, there are tons of cross-company procedures that cannot be done any other way than by fax machine

          • WideningGyro [any]
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            2 years ago

            Hell Germany has a similar reputation and yet SO many of their large businesses still use fax

        • Homestar440 [he/him]
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          2 years ago

          I remember being glued to zerohedge back in 2011 when it looked like the sovereign debt crisis would be the big collapse. Remember the PIIGS?

      • CommCat [none/use name]
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        2 years ago

        yeah I just got an unexpected email from my Bank, talking about inflation and how to budget your spending. I don't mind another 2008 coming, this system needs a reckoning or we're all doomed in a few short decades.

        • Steve2 [any]
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          2 years ago

          I starter "investing" in January from a windfall and putting $100 away a month into an index fund. The market started collapsing pretty much right away, I'm considering my continuous investment as a real magic hex to collapse the economy and there is nothing they can do to make me stop. I will destroy the capitalist economy and if it just cost me $100 a month to do it, we'll that's just my cross to bear.

          • Prinz1989 [he/him]
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            2 years ago

            I also started in January. Lost 1000€ in the last week alone.

            That money could have bought a lot of premium booze, the only 40% I'm going to see anyway.

        • silent_water [she/her]
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          2 years ago

          a reckoning means the world finds a new dominant ideology -- whatever new form of liberalism replaces neoliberalism -- and a contingent economic policy that opens up new markets for exploitation... or... we're all gonna be enmeshed in war for decades. kinda hoping this one turns out not to be the big one just cause I was planning on a couple more years to prepare...

            • cawsby [he/him]
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              2 years ago

              Tons of dried food like white rice, beans, whole corn, etc will last 20+ years if stored below 100f/40c.

              A 5 gallon food-safe bucket is the best choice for storage. They are stackable, vermin-proof, and air/water proof that cost ~$8 with lid at a hardware store.

              Each 5 gallon bucket can hold roughly enough calories for a month of food for one person. If you go with white rice or lentils that can be had as cheaply as ~$25-30 per bucket.

              • Steve2 [any]
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                2 years ago

                This is good for a potential total collapse but also the best prep is honestly to have a community of people you can rely on and trust. Alone and prepped is the same as alone and unprepared.

                • cawsby [he/him]
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                  2 years ago

                  We have them because we live in earthquake country.

                  Estimated time to get power back to our property after the Big One will be 6+ months.

                  • Kresimir [they/them]
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                    2 years ago

                    The big one refers to that impending earthquake on the northwest coast right?

                    Absolutely wild that there's been basically no preparation for that at a systemic level

                    • cawsby [he/him]
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                      2 years ago

                      There has been some but mostly at city/metro level.

                      Some cities have caches of generators/tents, but most will rely on FEMA.

          • Frank [he/him, he/him]
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            2 years ago

            Turbo-Mammonism, the ideology of throwing kids in to a giant pit to appease the money god.

      • ednice
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        edit-2
        2 days ago

        deleted by creator

      • mr_world [they/them]
        ·
        2 years ago

        It's because there's more going on than which can be fixed by interest rate changes. Housing is about the only thing they can affect other than interest rates (because mortgages). They can't do shit for war, supply chain issues, etc.

        • silent_water [she/her]
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          2 years ago

          they're trying to destroy demand to alleviate the supply shortages by raising the cost of money. it won't work because the problems are on the supply side (prices will keep going up as businesses struggle to make a profit) and demand for essentials can only fall so far, but it will have a wonderful impact: the middle classes will be out for blood over the next couple of years. by destroying the fascist economic base, they're ensuring that angry fascist mob takes power.