(Several Minute West of the Tokyo Station)TOO TIMID OR OPTIMISTIC IN ONCE IN A CENTURY SITUATION
SECTION I: Separation of Taxation and Government Budget
Suppose that there is little money circulating, but there are many unemployed persons and many factories out of operation.
Then a government must distribute money for free to the unemployed, so that they will try to buy goods to be produced in the factories.
Then the factories would hire the unemployed to run their facilities to produce goods to be sold to their workers.
After receiving salaries and wages, the workers would buy goods, and economy would pick up. No dangerous inflation would occur. Even the government can collect taxes if needed.
The point at issue is that the government had to first distribute money for free to the unemployed. Taxation is another matter, if it is applied to the workers later.
In other words, based on the production potential and consumption potential, the government should issue currency on its own, without relying the central bank whose actions are restricted by a money supply theory and its balance sheet as it is still a bank which the government is not.
Livelihood protection subsidy must be founded by the government issuing its own paper money without asking the central bank to lend money to the government, since 1.3 million households (among total 48 million households) in Japan live on welfare payment as they have no jobs.
Taxation and government expenditure should be separated in a supply and demand relationship.
Note that the key prerequisite is the existence of supply potential that can provide materials and goods as much as needed by consumers without causing dangerous inflation, which is seen in Japan.
SECTION II: Japanese Ace Downed 64
During WWII, the Empire of Japan produced 2,000 97-Type bombers and 10,430 Zero-Type fighter planes in addition to 5,751 One-Type Hayabusa fighter planes.
During WWII, the U.S. produced 3,970 B29 bombers and 16,766 P-51 fighters in addition to 7,722 F4F Wildcat fighters.
But, it also produced 12,731 B17 bombers and 12,275 F6F Hellcat fighters in addition to 9,942 P38 Lightening fighters, since it fought the Empire of Japan and Nazi Germany.
The ace of Japanese fighter pilots was Saburo Sakai who shot down 64 American planes over the Pacific Ocean.
If the Imperial Navy had 10 more Sakai-class pilots, its fleet should have won the Battle of Midway Island in 1942, where total seven aircraft carriers were mobilized on both the sides, and occupied Hawaii eventually, prolonging the war by a year or more though more tragically.
After WWII, ex-Imperial Ace pilot Sakai however said, "Japanese are not a race suitable for fighter pilots. Japanese are easily agitated and excited, while an aerial battle demands cool-headed behaviors and a hard-view of reality in addition to the cold-hearted will and strong tenacity of purpose in life and survival."
(http://www.apache-6.com/h20-7-26-hikohki.html)
But, my tactics is that from the moment you spot an enemy plane at a corner of the sky, start to pull the trigger of the mounted machine-guns to continue the shooting until you shoot down it or your guns deplete bullets; eventually you surely shoot down the one or you give up and fly back in hurry to the aircraft carrier or the ground base in safety. The point is that the moment the enemy plane gets into your range, it must be shot down, so that you can save bullets for other ones. For this purpose, you have to design a plane that can carry 100 times more bullets than an American's.
Anyway, that is why, I suppose, I have to be born after WWII, if somebody will have to after the War on Terror.
SECTION III: TOO TIMID BAIL-OUT MONEY
Between August 2008 and March 2009, the U.S. Government issued Treasury bonds worth $1.5 trillion.
For FY2009, the Japanese Government issued $0.5 trillion government bonds.
As America's GDP is three times larger than Japan's, the figures look reasonable, since the financial crisis started on Wall Street.
But, Japan issued $0.28 trillion government bonds in FY 2007, while the U.S. issued about $0.7 trillion (*detail confirmation needed) Treasury bonds in 2007. So, it looks like that Japan could further issue $0.05 trillion (5 trillion yen) in its national expenditure.
In addition, 60% of U.S. Treasury bonds is owned by foreign governments, businesses, and other foreign entities.
Yet, only 5% of Japanese government bonds is owned by foreign governments, businesses, and other foreign entities.
Then, which government is too timid to borrow money from the outside by issuing bonds?
Apparently, the Hatoyama Cabinet should not hesitate to issue additional two or three trillion yen ($0.02 or $0.03 trillion) government bonds to restore economy.
While doing so, it should start to consider the separation of taxation and the government expenditure.
To combat an economic crisis, Americans would not mind a $0.05 trillion overshoot, but Japanese really do irritatingly.
*** *** *** ***
In 1904, the Empire of Japan launched war against the Russian Empire. For many years before it, the Japanese Imperial Government had been resolute in making war against Russia sooner or later for the hegemony over the Korean Peninsula.
But, when the Empire started the war against the U.S. in 1941, there was no such a resolution. The Empire had beforehand had no plan on how to fight American military forces, where to occupy, what to do with a possible victory, or how to withdraw troops and fleets and end the war if things should go wrong. The Empire expected that America would offer peace at some point if costs of the war should get unbearable for America, since America should be also involved in the war against Nazi Germany. However, everything went wrong for the Empire to be forced to attack Pearl Harbor before its oil reserves for the world No.2 Imperial fleets might have been depleted due to America's embargo.
If the Empire of Japan had had a concrete plan of war with America over the hegemony for the Asia Pacific before 1941, it must have first fixed up the war with China, planned to force the Netherlands to hand over oil fields in Indonesia, and then started to produce 100,000 Zero fighter planes, all of which was impossible then.
This Japanese mentality is still somehow evident. But, just one good idea or paradigm change might allow it to make a quantum leap in national security or economy. In this context, Japanese elites must not simply follow the European/American way in national security and economy.
(http://www.zianet.com/jw_laurie/Sounds/BEMYBABY.mid
Source:http://www.zianet.com/jw_laurie/midipage.html)
Mat 2:11 And when they were come into the house, they saw the young child with Mary his mother, and fell down, and worshipped him: and when they had opened their treasures, they presented unto him gifts; gold, and frankincense and myrrh.
Mat 2:12 And being warned of God in a dream that they should not return to Herod, they departed into their own country another way.
Mat 2:13 And when they were departed, behold, the angel of the Lord appeareth to Joseph in a dream, saying, Arise, and take the young child and his mother, and flee into Egypt, and be thou there until I bring thee word: for Herod will seek the young child to destroy him.
Mat 2:14 When he arose, he took the young child and his mother by night, and departed into Egypt:
Mat 2:15 And was there until the death of Herod: that it might be fulfilled which was spoken of the Lord by the prophet, saying, Out of Egypt have I called my son.