Japan's Trade Surplus Vaporizes

The Business Insider

Talk about cliff diving. Japan, which at one point was synonymous with phrase 'trade surplus', is now a net importer. The country's trade surplus collapsed a staggering 99% in March, as a sharp dropoff in imports was not matched on the other side. The collapse means Japan ran a deficit for the year -- its first in 28 years.

Wow!

That's big news without question.

Japan's Toyota, to name but one, outsources all 'round the Pacific Rim. Call it a 'Pacific Rim-job'. To inflate the bottom line Toyota's taken to importing itinerant labor from the squalid slums of Vietnam and Thailand. As fragile a house of cards, in a slump as the Globe's tending presently, as our own 'Service Oriented' economy.

America works best when we build, earn and spend here. Importing prosperity, on the back of specious credit, to propel us ever upward, is a scenario only Sisyphus would appreciate.

America works best when we build, earn and spend here. Importing prosperity, on the back of specious credit, to propel us ever upward, is a scenario only Sisyphus would appreciate.

In summary when it is economically balanced and accountable. Just ask the Europeans.

In summary when it is economically balanced and accountable. Just ask the Europeans.

I'd agree.

Not a wide-open free-for-all.

Sustainable.

Amen.

The "service-based" economy is an illusion.

Amen.

The "service-based" economy is an illusion.

No doubt as "smallchevy" alluded, balance is required.

Amen.

The "service-based" economy is an illusion.

At the end of the day something has to be "serviced." If nothing is left to be serviced, how will the one who service, service the serviced?

At the end of the day something has to be "serviced." If nothing is left to be serviced, how will the one who service, service the serviced?

We're primed to discard many of the things that were once regard as repairable.

Electronics repair was once a thriving industry.

Now, what do we do?

We throw it away or stash it in that dark corner of our garage.

We're primed to discard many of the things that were once regard as repairable.

Electronics repair was once a thriving industry.

Now, what do we do?

We throw it away or stash it in that dark corner of our garage.

Yea until the Economy goes into the toilet, then alot of people decide to just fix instead of buy new. Example - Vehicles.................... or they become Import humpers and buy a Toyota. :twocents:

Yea until the Economy goes into the toilet, then alot of people decide to just fix instead of buy new. Example - Vehicles.................... or they become Import humpers and buy a Toyota. :twocents:

Well, being a recently retired GM hourly-type person, I will give you this observation.

Until the mid-eighties, GM still wielded considerable clout within the Industry.

I watched as very inexpensive, and not all that well-constructed, imported cars flooded the market, gained a foothold in the wake of two 1970's 'Gas Shocks'. The Domestic Steel Industry was, at the same time, being systematically dismantled as cheap imported steel found it's way here. I saw textile-jobs, the backbone of many Southern cities, go offshore. All of the jobs which were attendant to these Industries and those in the ancillary industries vanished as imports gradually began to undermine our Domestic manufacturing capacity. Good jobs became supplanted by jobs which did not pay as well as the displaced jobs.

A slow erosion of the standard-of-living for the storied middle-class.

Labor here, in any form, unionized or otherwise, cannot compete with the slave labor of under-developed Nations, China and India as prime examples, where people are treated as cattle or fodder.

We here leverage each other in a vain attempt to do so.

Amen.

The "service-based" economy is an illusion.

+1

Chris

Wow!

That's big news without question.

This is a very strange thing to conceptualize, I never thought I'd live to see the day when Japan had a balance of trade deficit but there you go.