How is Japan able to economically sustain itself with a debt to GDP ratio of over 250%

817 viewsEconomicsOther

Whilst simultaneously having a rapidly declining birth rate, and relatively low levels of immigration, to maintain a homogeneous society, without imploding in on itself?

In: Economics

16 Answers

Anonymous 0 Comments

It is imploding on itself, that’s why they have to spend so much money they aren’t making. It’s just imploding slowly. As to why it’s happening so slow, governments have almost complete control over their own economies, and there are a lot of bandaid solutions they can implement to fend the implosion off just a little longer. A government can sustain a debt spiral for a long time if they don’t push it too fast and trigger hyper-inflation or a run on the banks. Eventually it will all fall apart, but eventually can be a long time.

You are viewing 1 out of 16 answers, click here to view all answers.