Thursday, July 9, 2015

National wealth and added value

"◆ welfare does not come down from heaven
Some people have claimed that "from now on should enhance its welfare", "high growth is not necessary but," "industrial development's another sorry" or. But the concept of alternative formula "Do growth or welfare," "or industry or national life" is a mistake. Welfare is not something that comes down from heaven, nor given from abroad. Japanese themselves is their own with a vitality to develop the economy, is not the source of the funds needed in addition to build up by its economic strength. "

What words of the above is really "Who".

In fact, it is Tanaka. Tanaka is in his book (the Japanese archipelago remodeling theory), it is not telling the "truth" that "welfare does not come down from heaven." Denied the economic growth, there are words that I want in Tatakikon in somewhere in the people of the party head to become frenzy only to the distribution of a limited pie.

By the way, Watakushi frequently,
"Growth what all solutions"
You use the phrase, but it does not mean that the influence of the separate archipelago remodeling theory. Watakushi is I read the "Japanese archipelago remodeling theory" of Kakuei is, actually I am or was recently. It's for when trying to figure out things properly in the (currently, in the provisional title "Grand Vision", post-war Japan's economic, fiscal policy in what has written a book to look back a) numerical base, reached after all the same conclusion I think. Come to think of it, even Watakushi that I read the book of Mr. Richard Koo, it was pretty slow.

Well, Tanaka For more information about the macro economy, to draw a magnificent grand vision (national land of balanced development), has the ability to do it, is the person who was transferred to actually run. Well, or "national land of balanced development" was pulling the subsequent leg of the Japanese economic growth, Toka's originator of money politics continuing to the current Democratic Party, but there is also a place where you want many things to complain about, even so firm ground vision, in that it drew a grand design, I think it was a great politician.

And "economic development" to say of Tanaka, of course growth of GDP (at the time GNP), it means the expansion. GDP and is the sum of gave birth to a nation with a focus on companies "added value".

And, this added value is not Umidase without "investment". In wasteland that infrastructure is not in place, also is said to be "able to generate added value" in the absence of capital investment, such as a factory, it is that impossible.
All in all, create added value, it is to achieve the economic growth is not necessary to expand the investment, in the first place and developing countries, or there is no "invest money" is became in Japan after the war of burnt ruins (There was no). Postwar Japan receives a loan from the World Bank, it turned to domestic infrastructure development, it is not invested to achieve the economic growth. (Japan for the loan from the World Bank, all of the delay, it is repaid in full without the breach, has surprised the world)

Japan has suffered in the current deflation, but this is domestic supply capacity, that is, will that have extra ability to produce added value. In other words, by that has ballooned "investment for the production" of the past, actually This is what it is "of the Japanese economy treasure", is also a reason for trade surplus and the appreciation of the yen continues, the Watakushi our people of Japan Middle East It is also the reason lives to not like and Greece.

Now that you wrote with words and the like, since would be hard to understand, we will explain in the graph by way of example.
Previously, in the figure ↓, we introduce the changes in the "national wealth" of Japan.

[1980 - '08 Trends in Japan's national wealth (Unit: one billion yen)]
http://members3.jcom.home.ne.jp/takaaki.mitsuhashi/data_31.html#Kokufugensyo
In the case of the above graph, the national wealth as "non-financial assets + net external assets (financial net assets)", it is roughly defined. Moreover, the fact that financial assets at about stock, did not put in a graph.

The non-financial assets in the "production assets," "tangible non-productive assets" is break down (subdivision), stock was also added the transition of Japan's national wealth will be the following.

[1980 - '08 Japan of the transition of the production assets and tangible non-productive assets and equity and net foreign assets (Unit: one billion yen]

Mitsuhashi Takaaki official blog "blog to a new century of Big Brother" Powered by Ameba
Source: Cabinet Office
http://members3.jcom.home.ne.jp/takaaki.mitsuhashi/data_32.html#Seisannshisan

The production assets, in the "Wealth of Nations" was born by corporate capital investment, the tangible non-productive assets will be land (such as and underground resources).

Japan's bubble since 1985, I think mainly it is found that it was caused by a tangible non-productive assets and stock price soaring. Of course, even the collapse of the bubble since '90, was caused by the price of the shares crash and tangible non-productive assets.

However, even after the collapse of the bubble economy, national wealth referred to as "production assets" in Japan, it is why has continued to steadily expand. Hashimoto and austerity later by administration, but was followed by a flat for a while, by the simultaneous global economic boom stemming from the American real estate bubble, also began to expand. (Since the Lehman shock, but I think that there is a high possibility that the leveled off again)

This "national wealth of production assets," what is the source that produces added value, it's the Japanese economy and the Japanese national treasure. However, currently in Japan it does not fully utilize this great "national wealth" is. In other words, it is deflation.
If left untreated the deflation, this "Japanese national treasure" can not be denied the possibility to continue to shrink, there is a possibility to give the burden to the future of the Japanese people. In other words, Watakushi us is why there is a possibility that not Yare to leave the "source of added value" to the future of the Japanese people by deflation.

As you believe, and so I think to come to understand is a thing called "national economy".
The purpose of the national economy, "consisting winner in the global market!" Or it is not somehow. Over the long term, to meet the people's demand, maintain the ability to generate added value, it is the thing to expand.

As long as you read the Japanese archipelago remodeling theory, Tanaka had a complete understanding of this "basic of the national economy". (However, take the policy of rural areas preferential treatment, it inevitably brings low growth of subsequent Japanese economy. For more information, please wait for the release "Grand Vision")

Nowadays politicians, this is it will have seem to have forgotten the "Basics of the national economy".
So, Watakushi is subject always wrote the "national wealth" the theme of the "Fukoku theory of deflation era", "Korea be unhappy flourished Samsung economy," the theme of "added value".


Actually TPP is truth, and I think scary, you or was for aims of the United States to try to liberalize the "investment" in the above glimpses. After all, America is the Working Group of the TPP initially was only 22, I newly've been pushing the two items.

The two new items, a "service (finance)" of the "investment"

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