Registered: Nov 2009
05-20-12 09:01 PM
Quote from flipside21:
John Taylor of FX Concepts thinks Japan can last for many more years without a sovereign debt problem because of the nation's current overall trade surplus, domestic ownership of JGBs, and corporate investment.
I think the market perception of governments that can print their own currency cannot default will allow countries like Japan to continue for many more years. Bass may continue to lose money on Japan for years before his scenario plays out.
I agree with John Taylor. The U.S. will have a sovereign debt crisis before Japan does. Trade deficit, exploding budget deficit, a disaster waiting to happen with a heavy reliance on monetization to keep the Ponzi scheme going.