Gambling money :
What minus interest rates create is artificial bubble, and it will be
failed…
Merits of minus
interest rates
1) Ordinary people
can get house easily.
2) Company can
borrow money easily.
3) Government pay
less money for huge debts. If interest rates are lower, paying will
be decreasing.
Demerits
of minus interest rates
1) Real estate’s
price will be lower and lower in Japan. So people, who are buying
house, will be losers.
2) Company, which
must borrow money, usually are weak or poor. So this company will be
break-up sooner or later.
3) Government, which
has been making huge debts, doesn’t have self-control. So this
government will keep making debts in the future. And the bonds of
this government is not safe in long future.
Prolonging the
finance, which is breaking in now, will be ended in near future.
When does ending
come?
When avoidable
accident comes is suitable for government. War or earthquake… War
will be good reason for raising taxes.
How does ending
comes?
Ordinary people
can’t stand on raising taxes & paying house-loan.
So watching to
ordinary people’s debts is important for knowing Japanese economy.
Greece has broken-up
in 2009, Japan may be tracing Greece for 12-16 years later.
