Thursday, April 14, 2016

Japan Is Insolvent
Article highlights how mainstream news is beginning to see the insolvency in Japan .. "The conventional belief has always been that the Japanese economy would eventually return to growth somehow, which would also bring with it a level of inflation that would allow the sovereign debt to shrink as a percentage of GDP and its servicing as a percentage of tax receipts. As a result, there's never been serious consideration by governments and financial industry leaders as to what a Japanese sovereign insolvency implies for the global capital markets outside Japan .. As concerns about a Japanese sovereign insolvency increase, unless the Japanese government announces a plan to address the issue before a crisis erupts, capital owners globally will likely increase the percentage of their wealth held in hard assets, especially gold and gold miners. That, too, could be considered a cue to the unspoken concerns capital owners have about the potential fallout from a Japanese insolvency. Most importantly right now, though, is to be aware that Japan is terminally insolvent and that the primary first issue is when it will be actualized, not if."
LINK HERE to the article

1 comment:

Anonymous said...

yes it is .... so ?