EUROPEAN JOURNAL OF TOURISM AND TRADE
  • EUROPEAN JOURNAL OF TOURISM AND TRADE
  • TOURISM NEWS
  • SELECTED ARTICLES FROM EUROPEAN JOURNAL OF TOURISM AND TRADE
  • ZIMBABWE-WORLD BEST TOURIST DESTINATION IN 2014
  • ETHIOPIA-WORLD BEST TOURIST DESTINATION IN 2015
  • CAMBODIA-WORLD BEST TOURISM DESTINATION IN 2016

UNDERSTANDING ABENOMICS BY PRESIDENT DR. aNTON CARAGEA

9/3/2013

 
European Council on Tourism and Trade President-Anton Caragea had realized an analysis of the policies implemented by Japanese Prime Minister-Shinzo Abe in the last year of government and is presenting the main figures of what is called today as abenomics. 

Picture
Just two years ago the key words about Japan where summarized in the expression: lost decades. After 1990, Japan seems to be fallen in along period marked by stagnation and by natural disasters such as Kobe earthquake and more recent Fukushima tsunami.

On economic field, the country that once towered over the region as an international symbol of economic growth in the sixties and seventies, was struggling now with hipper-inflation, reduced economic competitiveness and the unfair competition of cheep and low quality products of China.

The man who succeeded in pulling up the country from tittering on the brink of the abyss: Shinzo Abe had managed also to enrich the economic vocabulary with a new term: abenomics (a strange mingling of his name-Abe and economics).

                                                         

What is abenomics?             

The economic policy that allowed a new Japanese economic miracle to appear was created by a seasoned and sophisticated mixture of direct state investment in economy and indirect state buying of Japanese National Bank bonds, a move that allowed for the credit to be cheaper and more relaxed and for interest rates to decrease.

This infusion of capital was not planed as a sole engine for economic growth  but was planed to aid and support private investment as the key factor in economic development.

State sponsored investment is just an auxiliary, a support and confidence booster in economic growth and an ingredient to further increase private confidence in economy.

Another key element of the economic stimulus plan is offered by the increase in competitiveness of the Japanese products by means of financial support, including currency devaluation that is insuring that national products are cheaper and more attractive and by fiscally backing increases in competitiveness.

Finally, what is making Japanese prime minister plan different is the accent on fighting the inflation and keeping it under control.

As a golden rule, any stimulus package must bear the responsibility of an increase in inflation. Is not the case with Japan where abenomics is creating a serious anti-inflation package with controlling the spike in wages, strict taxation and export oriented growth rather that stimulus of internal consumption.   

          

All are specific measures that are making abenomics a balanced experience between growth and inflation, competitiveness and exports etc. Finally, another trait of the abenomics that deserves our attention is the social management plan.

The pension system, social security and health systems are all regarded as pivots of the economic growth but also of national satisfaction.

Proceeding by this path the Abe government is not falling down the easy road of electoral charity, as done in United States or Europe, but is opting for investing the economic surplus in indirect social expenses that are enriching life quality without inflation as a side effect. 

A new inspired decision!

Abenomics-an international model?    

Once the first results of abenomics are becoming visible. the plan enjoyed a star status, many economists are predicting a role model for these economic policies, famous economic thinkers as Joseph Stiglitz, risking the prophecy that abenomics will be a successful blue print for world economy.

The general interest was also attracted by the elevation of economic situation at the level of national security agenda.

It is in this decision a message of seriousness and maximum attention that Shinzo Abe government is portraying as a supplementary strong point of the Japanese economy in front of the national and international private investors.

The status of national economy becomes as such an element of national security and your investments are sure, is the subliminal message that Japan is offering to the investment market as a new powerful arguments in his favour.

Undoubtedly, the news of the hay days of Japanese economy is a good news for world economy already deeply endangered by the collapse of Chinese economy.

The abenomics can be only used by the country which already has build a powerful economic apparatus, with a developed industrial mechanism like European Union members states or American economy, as we are confronted with an economic experience that is focused on refining the economic decisions in preventing inflation and insuring a healthy and stable economic development after the current world economic crisis.

As such the abenomics model must be understood and copied by the world economic powers in order to allow a solution to emerge out of this world economic crisis.

By this alone the abenomics can be the most valuable contribution that Japan is presenting in re-launching the world economy development and by extracting the world out of this auto-regenerating crisis. 

Today, thanks to abenomics, Japan can rest assured as his role model in world economic recovery is guaranteed.

Picture
Professor Dr. Anton Caragea MA, FINS, EDA and H.E. Ambassador of Japan-Keiji Yamamoto

    EUROPEAN JOURNAL OF TOURISM

    European Journal of Tourism is a regular publication of European Council on Tourism and Trade destined to disseminate information`s about World Best Tourist destinations, European tourism statistic, evolution`s, laws, regulations and main event`s.

    Archives

    December 2015
    September 2015
    July 2015
    June 2015
    May 2015
    April 2015
    April 2014
    December 2013
    September 2013
    August 2013

    Categories

    All
    2015 WORLD HUMANITARIAN DAY
    2015-WORLD HUMANITARIAN DAY
    Academician Mircea Constantinescu
    Addis Ababa
    Almaty
    ANA ARE
    Anton Caragea
    Brandul Ana Are
    COP21-Conference Of The Parties 2015 Paris
    CRAMA NATURA
    Daniel Guzu
    DIRECT DE LA FERMA
    Ethiopia World Best Tourist Destination For 2015
    Ethiopia-World Best Tourist Destination For 2015
    European Council On Tourism And Trade
    European Journal Of Tourism
    European Tourism Academy
    Kazakhstan
    Laos-World Best Tourist Destination
    Minister Amin Abdulkadir
    Minister Of Culture And Tourism Of Ethiopia
    PANCIU
    Paris Climate Change Agreement
    President Dr. Anton Caragea
    President Of European Council On Tourism And Trade
    President Office
    Silk Road
    Silk Road Project
    Sucuri De Afine
    Sucuri De Mere
    Sucuri De Struguri
    Tourism In Central Asia
    Turkistan
    Turkmenistan
    United Nations
    Vientiane-World Tourism Ceremonies
    Vin Linistit
    Vin Spumant
    Vinuri De Panciu
    VRANCEA
    Winter Olympics 2020
    World Best Tourism Destination
    World Best Tourist Destination
    World Capital Of Culture And Tourism
    World Expo 2020
    WORLD HUMANITARIAN DAY

    RSS Feed

Powered by Create your own unique website with customizable templates.