Pity Japan

I have little doubt that the most perverse aspect of orthodox economics is the idea of monetary neutrality. Taken as nothing more than an article of faith, monetary practitioners use the principle as cover to undertake drastic and blunt intrusions into markets and economies, with no guilt over having done so because they can simply .. read more

It’s Not Coming

Entrenched narratives die extremely hard, with all due respect to John McClane’s [Bruce Willis] aging franchise, and I cannot remember something so cemented as the recovery idea this year. That is really saying something considering that each and every New Year’s Day after the trough of the Great Recession has brought out the same exact .. read more

A Return To Normalcy

I think sometimes, with the stock market doing its best imitation of the Energizer bunny, we forget just how extraordinary are the times in which we live. We’ve been lulled to sleep by the relentless and mesmerizing march higher of stocks and all manner of risky assets. Maybe it’s just that having lived through two .. read more

Opiate of the Media

The post tax data coming in from Japan continues to perform far worse than expected under the assumption of an actual recovery (that’s too long for mainstream adoption, but if there was a common mantra for the globe since 2009 that’s as close as it may get). Household spending and real estate contracted in April, .. read more

Japan Gets What It Wanted

Even though this was released last week, I place a great deal of importance on earned income as an economic indicator so I wanted to mention it anyway. A healthy economy will produce healthy wage gains because work is the basic exchange that creates wealth. Actual, productive wealth is the foundation for long-term economic expansion, .. read more

Japan’s ‘Surge’ Undone

The juxtaposition of the official unemployment rate in Japan against wage gains (losses, more precisely) raises an interesting and potentially debilitating conundrum. More workers are being employed inside Japan, but the average pay rate clearly is falling for new jobs. This, of course, sounds very familiar to Americans that have seen exactly that process play .. read more

The Dollar State Remains Altered

As much as overseas markets, particularly emerging, have come roaring back in a lot of places, there is still palpable unease in dollar allocations. That is as much expected as any kind of erosion or dysfunction will take a meandering course of ebbs and flows. But I am a little surprised at how easy the .. read more

Bank of Japan Perpetuates With Its Inflation Invitation

There is very little that needs to be said about the April estimates for Japanese wages. The prolonged agony was extended yet again despite the purported “surge” in the Japanese economy. What the latest figures show is exactly what I suspected when the spending data first came out – that the Japanese are so pessimistic .. read more