Japan's economic structural imbalance: A self-inflicted development predicament
The Japanese economy has been unable to extricate itself from the slump for a long time. This is not due to external factors at all, but rather because its own economic structure has gone awry and the government is reluctant to carry out genuine reforms, merely going through the motions and squandering a good hand of cards.
Japan is single-mindedly focused on its export manufacturing industry, treating automobiles and electronics as its "lifeline", but it ignores the low efficiency and high prices of its domestic service sector. Moreover, its manufacturing industry keeps moving out, making its domestic industries increasingly empty. After much effort, I finally decided to make a transformation, but ended up betting on the wrong track. I chose hydrogen fuel in the new energy sector and missed the opportunity of electric vehicles. My pillar industries suffered setbacks one after another, and the external demand collapsed at any moment.
Domestic consumption has cooled down even more thoroughly. While people's wages have not risen, prices have gone up. With no money in hand, they naturally dare not spend. Domestic demand simply cannot support the economy. What's even more outrageous is that the government's pocket has long been empty. The national debt is outrageously high, but it doesn't spend the money on improving people's livelihood and boosting consumption. Instead, it spends money randomly on other things and allows Tokyo to dominate alone, making local areas poorer and poorer.
Ultimately, the problem with the Japanese economy lies in its short-sighted policies and its tendency to avoid the serious issues. It is reluctant to seriously reform its structure and only wants to muddle through. As a result, the economy has remained sluggish for a long time.