3 ms·
Lots of money supply in Japan, and are their asset prices going up? * https://fred.stlouisfed.org/series/MYAGM2JPM189S https://fred.stlouisfed.org/series/MYAGM
by throw0101a 5y ago
Lots of money supply in Japan, and are their asset prices going up?
* https://fred.stlouisfed.org/series/MYAGM2JPM189S https://fred.stlouisfed.org/series/MYAGM2JPM189S
Their central rate has been <1% since 1995.
Stocks and equities in the US have been going up for 10+ and the infusion of "trillions of extra dollars" wasn't present for all of those years. Canada has had increasing home prices, barely slowing down in 2008, and it hasn't had QE.
- b9a2cab5 5y agoJapanese asset prices would otherwise be deflating, so the "infusion" has absolutely had an effect. The CAD has tracked the USD pretty closely in terms of value so even if there wasn't explicit QE there was definitely sufficient inflation to devalue the Canadian dollar.
- ItsMonkk 5y agoLyn covers this topic fairly well in her article on Japan[0]. In short, private debt in Japan has shrunk by 300 trillion yen over the past 25 years. The growth of the money supply is all coming from public debt. It matters who gets the new money and what they spend it on. [0]: https://www.lynalden.com/economic-japanification/ https://www.lynalden.com/economic-japanification/
- deleted 5y ago[deleted]
- RC_ITR 5y agoYes they are - https://www.bloomberg.com/news/articles/2021-09-03/japanese-stock-futures-rally-after-report-suga-plans-to-resign https://www.bloomberg.com/news/articles/2021-09-03/japanese-...