“Sound Money” Falls on Deaf Ears

Written by Addison Wiggin
Friday, July 19, 2013

Japan is sinking in quicksand. The more it struggles to free itself, the faster it sinks. But that won’t stop it from trying… even if that means destroying itself.

For evidence, we turn to a bizarre question proposed in yesterday’s issue of The Atlantic:

“Is Abenomics Doomed — or Will Japan Un-Doom Itself?”

Umm… What? How does a country “un-doom” itself? Isn’t being “doomed” about as finite as it gets?

“After an amazing eight-month run,” The Atlantic continued, “where Japanese stocks went up, and up and up over 80%, the Nikkei has collapsed again, and again and again over 20% from its peak. It fell 6.4% in the early hours Thursday morning to officially enter ‘bear market’ territory.

“Nobody said it would be easy for Japan to un-doom itself.”


In fact, it’s likely impossible. Japan has existed in a sort of “economic no man’s land” for the past two decades, perpetuated by a print-first monetary policy.

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