Why is Japan so rich?

[awigaxeh-443]

It's GDP is 5 Trillion, equal to that of China, I want to know why that is?

I'm from Canada and we only make 1.5 trillion, which is pretty sad lol

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[Raoul Duke]

It's GDP is 5 Trillion, equal to that of China, I want to know why that is?

I'm from Canada and we only make 1.5 trillion, which is pretty sad lol

Exports. And I will guess some well paid tech patents

[ColdHardMetal]

http://en.wikipedia.org/wiki/Automotive_industry_in_Japan

[cbeast]

Ask Satoshi Nakamoto 

[Hawker]

It's GDP is 5 Trillion, equal to that of China, I want to know why that is?

I'm from Canada and we only make 1.5 trillion, which is pretty sad lol

Quality and conformity.  Japanese are nuts when it comes to quality control and in the period that counts, they were a docile bunch who paid high salaries to their staff without need for strikes.

[Stephen Gornick]

they were

Past tense?

[MrTeal]

It's GDP is 5 Trillion, equal to that of China, I want to know why that is?

I'm from Canada and we only make 1.5 trillion, which is pretty sad lol

From wikipedia

Japanese GDP per capita: $45k
Japanese Population: 128M
Japanese GDP: $5.8T

Canadian GDP per capita: $51k
Canadian Population: 35M
Canadian GDP: $1.8T

Getting Canadian GDP higher than Japan would require a whole bunch of sex.

[benjamindees]

As pointed out, GDP is not a measure of wealth.

Japan is slightly less wealthy than Canada.  They achieve this with a massive technological base, a basically fascist economic structure, and by fishing half of the Pacific.

One not-so-widely-known fact is that, while oil makes up the largest component of the US trade deficit, fish is the second largest.

[bitcool]

As pointed out, GDP is not a measure of wealth.

Japan is slightly less wealthy than Canada.  They achieve this with a massive technological base, a basically fascist economic structure, and by fishing half of the Pacific.

One not-so-widely-known fact is that, while oil makes up the largest component of the US trade deficit, fish is the second largest.

but... each month I spend hundreds of dollars on gas, hardly anything on fishes, it's counter-intuitive.

[stochastic]

It's GDP is 5 Trillion, equal to that of China, I want to know why that is?

I'm from Canada and we only make 1.5 trillion, which is pretty sad lol

California has a larger economy of Canada at 1.9 trillion USD versus Canada's 1.5 trillion USD.  California also has a population 37.6 million people while Canada has 34.8 million people.  When Canada gets a population of 127.9 million people like Japan then maybe you can start to wonder when Japan is so rich.

[cjp]

Canada (second largest country in the world after Russia) has only 30 million citizens.

The Tokyo area alone (Tokyo+Kawasaki+Yokohama+some other cities) already has 35 million citizens.

Now go to Google maps and compare the size of Tokyo bay with the size of Vancouver bay.

As you see, Japan is incredibly full, and Canada is incredibly empty. Lots of people = lots of productivity = big economy.

Maybe you mistakenly think that income equals exploitation of natural resources. Canada has lots of natural resources, but if you look at the worldwide economy, most money is made in services, and not in natural resources. There are lots of examples of very rich countries with almost no natural resources.

[MatthewLM]

GDP is a terrible measure of wealth. Could be used to determine how badly things are being spent as the GDP could be massive but living standards poor.

[Hawker]

GDP is a terrible measure of wealth. Could be used to determine how badly things are being spent as the GDP could be massive but living standards poor.

Good point.  Everyone goes on about Japan's "lost decades."  But they had close to full employment and a fine standard of living for the entire period.  They still do.  Really who cares if GDP doesn't gain 2% every year if you already have a very good life.

[ribuck]

The Japanese didn't spend any money on warfare after WW2.

Put a few percent of GDP to more productive use, and compound the benefits over a few decades, and any country could be rich.

[MatthewLM]

They spend all their money on silly porn and sex toys.

[Hawker]

They spend all their money on silly porn and sex toys.

You are on a roll today - if our countries did the same instead of spending it all on invading Middle Eastern cesspits, how much better would life be?

[Kettenmonster]

Japanese government owe loads of round things (literally translated) to its elderly, meant to be their retirement funds.
So far nothing special. But birth rate drops constantly so Japan is overaging.
What will happen when this money is withdrawn? Will Japan be able to pay? If yes, will this money still be worth anything?
Having this in mind, how about rethinking the prerequisite.

[bitcool]

They spend all their money on silly porn and sex toys.

You are on a roll today - if our countries did the same instead of spending it all on invading Middle Eastern cesspits, how much better would life be?

American's obsession with masculinity making them think guns are rockets are sex toys.

[Hawker]

Japanese government owe loads of round things (literally translated) to its elderly, meant to be their retirement funds.
So far nothing special. But birth rate drops constantly so Japan is overaging.
What will happen when this money is withdrawn? Will Japan be able to pay? If yes, will this money still be worth anything?
Having this in mind, how about rethinking the prerequisite.

Japanese bond rates are very low so the market isn't worried about it.  I am only guessing but provided there is no panic like 2008 in the UK, it will just sit there until the people die and then will be reduced by inheritance taxes. 

[Kettenmonster]

... so the market isn't worried about it. ...

The market are those old folks waiting and hoping for ... that is why the market isn´t yet worried.