Japanese economy... Good or bad?

[User#21295]

okay so lets say Japan has perfect economy, nobody is poor, elderly people are all happy to work until 70 as well as employees with 100 overworks per month and so on...

 

[TAG Manager]

okay so lets say Japan has perfect economy, nobody is poor, elderly people are all happy to work until 70 as well as employees with 100 overworks per month and so on...

Every country has some sort of issue, life goes on... We've just pointed out some facts for clarity, not one person here says everything is peaches and cream.
We choose to live here and go about our lives as best we can...

 

[User#21295]

That's what I said too. All depends of what you expect in your life and if you are single or with family.
I have a friend who got married with Japanese and they decided to raise their first child in France....they got there two more kids but Japanese step parents got old so they decided to come back to Japan : 3 kids + 2 step parents with not money to take care in the same house = big challenge.
During 3 years, even by working 12 hours per day, he could not afford enough, all money saved before disappeared, and especially kids were not happy living in Japan as well as wife. They ended up by going back to France to get happiness back..
On the other side, I have another friend who did the complete opposite and they were happy family here.....for the first year....as divorce is on the table lately.

 

[TAG Manager]

During 3 years, even by working 12 hours per day, he could not afford enough, all money saved before disappeared, and especially kids were not happy living in Japan as well as wife. They ended up by going back to France to get happiness back..

Not to be cruel, but it just sounds like he couldn't qualify for a better paying job. Did he get a better paying job in France?
There are still good jobs to be had in Japan, but they aren't just handed out to low skilled workers.

Getting into a minimum wage debate is a whole other ball of wax... but seriously, if your situation isn't good... improve it.

I do have one friend with a new baby and all he can do is teach English. I told him to just go back to the states with his wife to stabilize things. Or, improve his Japanese and develop some marketable skills. (he's a bit lazy though, lives with her parents and doesn't pay rent or mortgage.)

 

[User#21295]

I don't remember his job but salary was clearly not enough, wife not working as 3 young kids to take care + 2 parents in bad condition which do not have money excepted the basic one from government. On one shoulder 6 people, it was impossible mountain top to reach. I was sad for him.
And of course they are still good jobs but for a "family life" including time for your kids (not letting wife doing everything), for your own couple, for yourself for hobbies etc...it's pretty hard in big cities, countryside is much better

 

[Kaspar]

I don't remember his job but salary was clearly not enough, wife not working as 3 young kids to take care + 2 parents in bad condition which do not have money excepted the basic one from government. On one shoulder 6 people, it was impossible mountain top to reach. I was sad for him.
And of course they are still good jobs but for a "family life" including time for your kids (not letting wife doing everything), for your own couple, for yourself for hobbies etc...it's pretty hard in big cities, countryside is much better

I don't know your friend, but supporting yourself and other 6 people on a single salary is difficult (or just impossible, depends on the job) in most of big cities, let alone Tokyo. If you're an English conversation coach and have a family, life is pretty hard everywhere.

I used to live in Shenzhen, in the south of China, and over there English teachers (both in kindergartens and language centers) have to work 2 or 3 jobs to make a decent amount of money: I for one had several and long periods of time in which I was working 7 days every week to support a wife and an infant baby.

 

[Kaspar]

Every country has some sort of issue, life goes on... We've just pointed out some facts for clarity, not one person here says everything is peaches and cream.
We choose to live here and go about our lives as best we can...

Agreed. Determination, hard work, an useful set of skills and adaptation should do everywhere.

 

[TheScientist]

I do have one friend with a new baby and all he can do is teach English. I told him to just go back to the states with his wife to stabilize things. Or, improve his Japanese and develop some marketable skills.

Theres this huge gap between actual qualified teachers and dancing monkeys. One has a career track, the other does not.

 

[Kaspar]

You know what, that depends. If you're coming to Japan because you've got a great job lined up with a good salary and incentives, it's a good time as any to come. If you're going to be working for borderline lower middle class money, it's never a good time.

I'll share my own experience:

My spouse lives and works in Japan. I'm in the states. Her own salary on its own is barely enough to live on (that's the lower middle class salary I mentioned). If it weren't for the fact that I send money to her constantly she would not be able to maintain a living standard equal to that which she would otherwise have at home. Since I get paid in USD, I benefit from the dollar to yen exchange rate most of the time.

Conclusion:

With sufficient money (I'm not talking a fortune here), you can make things work really well, even in an expensive city like Tokyo, if you're smart about it. If not, you will struggle. That's irrespective of specific economic conditions.

Well, this is what I've been trying to understand with a previous post. My before-tax salary here will be pretty much the same of what I was making in China during my last year (but I was without benefits). I'm a schoolteacher and will be working in an International school, so I guess I will be in a better position than most people in my industry. My wife owns and operates a small business, and she can make the same of what I do in a good month, and good months have been numerous lately.

Only bitch, we will have to pay two different rents, since we will be leaving in different cities.

 

[Kaspar]

It's the year 2017, and people still say China has a thriving economy? You mean the country with the largest housing bubble building that's done absolutely nothing to stop it, the country that had its stock market crash last year, the country that's done its best to completely cut off any form of currency exchange in fear of capital flight, the country with the currency that consistent gets offered the worst exchange rate because their currency is deemed to be next to worthless, and an economy with no innovation due to almost no foreign competitors?

At least if you get paid in yen, you have much more freedom to invest and do what you want with it. The RMB has almost no investment options outside of its crumbling real estate market.

You have to be wary of China: their increasing military assertiveness is a double edged blade of country looking to establish herself and a way to open new markets to leverage some of their internal debt.
It can crash anytime or go by inertia for years... no one knows at the time. Only things I know are: a China-India conflict is set to start anytime at the moment, their economy is not what it used to be just a few years ago.

 

[Lukes]

Well, this is what I've been trying to understand with a previous post. My before-tax salary here will be pretty much the same of what I was making in China during my last year (but I was without benefits). I'm a schoolteacher and will be working in an International school, so I guess I will be in a better position than most people in my industry. My wife owns and operates a small business, and she can make the same of what I do in a good month, which have been numerous lately.

Only bitch, we will have to pay two different rents, since we will be leaving in different cities.

I'd take those odds over what many other people are dealing with. I mean, it kind of sounds to me like you've already committed to the move so all there is to do now is make the best of it, regardless of what the state of the economy is. I will tell you though, paying two rents (even on two salaries) is going to hurt. I'm in the same position and it's the biggest drain on resources (you also have a second set of utilities to pay as well). Need to be careful if you want to stretch that money.

 

[RoboReptar]

As someone who's studied economics and invests frequently. Japan's economy is in a very weird state right now.

I'll save you the technical bullshit but negative interest rates, aging population and deflation leads me to believe that Japan is in for a world of economic hurt in the next 10 years.

That being said, there is upside, the birth rate is creeping up & Q1-2 of this year were growth quarters.

I'm hoping Japan gets through this awkward period over the next 10 years and comes out stronger.

 

[Nikkei Guy]

Living in Tokyo for almost twenty years I sometimes find it hard to believe that there is a recession. Every weekend the bic cameras and department stores are packed with customers picking up new gadgets. Restaurants seem to be full most of the time. Everyone drives cars that are no more than5 years old.

Sure salaries haven't increased much, but neither have consumer prices. I've been fortunate to have been promoted a few times so I'm making a lot more money than 18 years ago, but prices haven't changed much. So in that sense I'm better off, although I do find myself eating at better restaurants and buying nicer clothes. With kids getting older that also puts a strain on the wallet.

So to sum it up, Tokyo is a great place as long as you have a decent job with room to move up. I guess areas outside of Tokyo seem to be hurt more, but I can't comment on that.

 

[DocMcStuffins]

I'll save you the technical bullshit but negative interest rates, aging population and deflation leads me to believe that Japan is in for a world of economic hurt in the next 10 years..

I studied economics as well. I'm a little skeptical of the pessimism. Slightly negative interest rates are better than high rates. Slight deflation is better than high inflation. Aging presents a problem, but it could lower unemployment - retirees free up positions.

You could be right, but I think the weak economy in the current era is overstated- you ought to adjust gdp by working age population.