politics

Aso says initial budget requests for fiscal 2019 likely to reach record high ¥102 tril

32 Comments
By Stanley White

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The government is planning stimulus measures to help soften the blow from the tax hike,

There will be some uplifting economic news prior to the consumption tax being implemented, and Abe will point to it as signs that his policies are working, and then the floor will fall out from under him afterwards.

These stimulus packages have done little to help the average consumer here!

14 ( +14 / -0 )

Every year Shinzo is the boss we get this news, have to increase tax(theft) not one word about curtailing excessive government spending. Population have to work more because the government spends more. It's a mythical situation that it's an aging population that have paid for their retirement? Now have no money...where did the money go???

16 ( +16 / -0 )

Aso is an able man. He helped Abe to sell national land to a close friend of Akie. He will sell anything for Abe, no matter how ridiculous it may be.

1 ( +1 / -0 )

More money is needed for less people? This government is a total failure. If they are so monetarily smart why do they need to work? It's certainly not for the benifit of the population.

13 ( +13 / -0 )

How about decrease military budget and increase disaster recovery budget. Just saying.

12 ( +13 / -1 )

since1981Today 07:48 am JST

How about decrease military budget and increase disaster recovery budget. Just saying.

Elderly conservative politicians love their troops, guns, missiles, warships and fighter planes. I think they need them to feel more powerful and masculine. Also, expect one of their online proxies to be along soon to tell you that without revising the Constitution so Japan can have a powerful military to defend itself, as if it can't at the moment, those nasty Chinese and Koreans will be walking all over it. Oh look - now they don't need to.

7 ( +11 / -4 )

Just 5.3 trillion Yen for the defense budget?

How about a little more here, a little more for the politicians, a little more here and there?

Or how about cutting all the wasteful spending and distribute the savings to those who need it?

How about cutting all the money those politicians receive month after month for years and years?

How about finally make yourselves smart, but maybe it's too late for that.

Talk to those you are governing and find out what they really want. Then implement your budget accordingly!

4 ( +5 / -1 )

Think all of the posters here have said it all. Nothing further to add except the Japanese sheeple need to get off their apathetic butts and vote these clowns out before they destroy this beautiful country even more.

11 ( +12 / -1 )

@Simon Foston

those nasty Chinese and Koreans will be walking all over it. 

Why do you think nasty Chinese and Koreans want to walk all over it?

I mean Why?

-1 ( +0 / -1 )

Samit BasuToday 09:25 am JST

@Simon Foston those nasty Chinese and Koreans will be walking all over it. 

Why do you think nasty Chinese and Koreans want to walk all over it?

I don't. I'm merely paraphrasing pro-Abe stooges who do.

4 ( +6 / -2 )

Nothing further to add except the Japanese sheeple need to get off their apathetic butts and vote these clowns out before they destroy this beautiful country even more.

Except that the average voter is so blind to this government's nonsense. Being a hierarchical society where information disseminated from almost any random 'senior' is usually taken as bible, they believe it when they are told how glorious their 'leaders' are.

People are also too busy trying to hang on to their jobs, and do not have the skills to research and form their own opinions anyway. I don't have faith in Japanese voters for the next election. The 'we are under constant attack' narrative will easily scare them into doing the LDP's bidding again, and again.

Sad but true.

10 ( +10 / -0 )

Higher taxes means more concrete for rivers and useless buildings that will just sit there and rot away unused.

9 ( +10 / -1 )

Japan's debt burden, which is proportionally the highest in the world at more than twice annual gross domestic product.

Almost all that debt "burden" is to domestic Creditors. Japan can choose when to pay it back, there is almost no interest and can simply print mire money to pay back. So, not a problem compare to other Nations who must pay back big debt to overseas nations, like China.

-13 ( +1 / -14 )

Aso just doesn't care, walks around like he is god.

12 ( +12 / -0 )

Saddling the next several generations with more debt... wages are currently too low for people under 30 to pay this back and still have a decent standard of living, and it will only get worse as the interest on the debt mounts. At some point Japan will have to decide to devalue its currency and keep printing money, or go to the international bond markets and try to sell JGBs when it has an internal debt of 3-400%. Purchasers are likely to demand 7-8% premiums due to the risk, or simply to pass.

The LDP has over past decades spent the country into a black hole financing make-work projects intended to buy votes, even as increasing pension and medical care costs consumed increasing portions of the budget. Japan needs to cut both military and construction spending to the bone, find ways to fully employ the 40% of the workforce unable to find stable work that wants to, raise the minimum wage to 1,500 yen an hour, and make its edication system responsive to the sorts of challenges graduates face in the workplace and society, not on the ability to memorize useless information. But as long as this crowd is in charge, nothing will change for the better.

6 ( +10 / -4 )

Japan can choose when to pay it back, there is almost no interest and can simply print more money to pay back

I see you have attended the Venezuelan school of economics. Simply printing money to pay back debt results in hyper inflation. Besides, the Bank of Japan is supposed to be independent of the government: what happens if the bank refuses to print money?

9 ( +10 / -1 )

Bankrupting the country every year

8 ( +8 / -0 )

Shrinking tax base, more spending on mostly useless things.  Welfare fine.  Should promote childcare and promote people having kids.  Just keep printing yen until the current model of high domestic savings supporting the massive deficit caves in once the post war generation are all dead and gone.  And then watch the currency and economy suffer.

7 ( +7 / -0 )

Useless expensive American arms buying

6 ( +6 / -0 )

Retire, Shinzo, Aso retire you have more money than 99% of the population and less economic education than 99% of the same population. It's got to the point that our best hope is a series of heartaches, is the only hope for the future.

8 ( +8 / -0 )

Japan has no strategic vision, that is the biggest problem. When Japan needs stand up, she kneels down. When Japan needs to be friendly, she is hostile. When Japan needs to cut cost, she waste more. When Japan needs to be generous, she is stingy.

7 ( +7 / -0 )

This dude Aso can say anything what he wants, but crucial remind for this, he is not paying a cent to the next budget, it's all from us the taxpayers.

4 ( +4 / -0 )

...And actually not enough from the taxpayers, one more national bonds to next budget elevate upper floor.

3 ( +3 / -0 )

Akie! So well said!

2 ( +2 / -0 )

Who honestly believes anything that comes out of this lunatics mouth ?

4 ( +4 / -0 )

I see you have attended the Venezuelan school of economics.

Relying on a single natural resource to fuel the economy? Japan has never done that. In fact, it's the antithesis of that model.

Simply printing money to pay back debt results in hyper inflation.

Yeah, gotta love all that "hyperinflation" that Japan has triggered since its QE program started 18 years ago.

Besides, the Bank of Japan is supposed to be independent of the government: what happens if the bank refuses to print money?

Money is "printed" based on demand. Spending can be funded by bonds, most of which will be bought by the BoJ or other Japanese institutions.

-2 ( +0 / -2 )

"the Japanese sheeple need to get off their apathetic butts and vote these clowns out before they destroy this beautiful country even more."

And vote in who? How about the Japan Communist Party? They've been itching to take power for like forever.

"Use expensive American arms buying"

Right on, right on! Japan should manufacture all weaponry needed for their defense themselves. But wait, they won't be able to do that soon, and it will probably wind up costing even more... Wait, how about buying from China! Wait...

2 ( +2 / -0 )

The government is planning stimulus measures to help soften the blow from the tax hike,

I’m still waiting to get my ‘stimulus’ from the first tax hike over five years ago.

I have ave no doubt the next tax hike will have a disastrous effect on the Japanese economy. All their smoke and mirrors BS can not hide the fact the economy is even more stagnant than before the first tax hike. Consumer spending has dropped 10-25% depending on the sector since the first tax hike. This one will only result in a further drop in consumer spending. You don’t have to be an economist to work out that, if you increase taxes by 10% without mandatory salary increases to compensate for it,the economy is gonna go bust. They just keep borrowing money from the BOJ. The first tax hike was supposed to be used to pay off the public debt. However, Abe and his crony mullets have borrowed more money four times since the tax hike. They are idiots that couldn’t manage sex in kabuki-cho with a thousand bucks! End of story!

2 ( +3 / -1 )

Don't worry, Premium Friday will save us all !!

/sarcasm

4 ( +4 / -0 )

Why are we spending even more money when the reason for raising taxes next year is to pay for stuff we currently can’t afford?!

5 ( +5 / -0 )

"And vote in who? How about the Japan Communist Party? They've been itching to take power for like forever."

A balance of other parties is needed to stop the LDP from acting with impunity (even if no other party dominates). Too much waste to the parasites of Japan.

2 ( +2 / -0 )

initial budget requests for fiscal 2019 would likely reach a record high around 102 trillion yen

Versus revenues of approximately 65 trillion yen (for some reason, a number that isn't even mentioned in the article).

A responsible Finance Minister would be deciding what the government's priorities are, allocating spending in proportion, while keeping spending in check with tax revenues.

Not 65 trillion yen in revenues versus 100 trillion yen in spending. That's a joke, which says the government places no importance whatsoever on fiscal rectitude and will happily have the Bank of Japan finance the excessive spending with new money "printing", until such a time as a financial disaster occurs.

Yes, what I propose implies massive spending cuts and reforms to Japan's systems. 

But reality is what it is - it's better to deal with it sooner, before reality catches up with you later.

1 ( +1 / -0 )

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