Just when we thought that the value of the yen would drop due to the tremendous damage that the major earthquake disaster had on the Japanese economy, the yen reached its highest prices against the dollar since the war. This unpredictable way of fluctuation of the yen has a charm reminiscent of a woman who makes you want to know her better all the more because she is hard to know well.
Therefore, rather than considering about the changeable yen-dollar exchange rates in the immediate future, I would like to look at where the yen-dollar rates are headed in the long term by clarifying the yen’s present situation in the international financial markets as well as the situation the yen will face in the future.The Yen—The Third Currency
Basically, Japan’s private sector surplus is by far the biggest in the world, and this provides a sense of security for the time being. That surplus money was accumulated from the previous stages of economic development, however, and we cannot deny that these surpluses will greatly decrease and Japan will have to depend on funds from overseas for filling in the budget deficit when considering the declining birthrate and growing proportion of elderly people, and the stagnation of economic development. Therefore, financial reconstruction must be made quickly before such a situation raises international anxiety and the yen plunges. In order to do this, taxes must be increased. In addition to reducing the budget deficit, distributing a portion of the revenues from tax increases to newly emerging industries including renewable energy with the aim of achieving further sustainable economic growth will help raise the value of the yen in the true sense. With Japan’s technological capabilities, I believe that sustainable development in such earth-friendly fields is certainly possible, and I also feel that this is something that we most certainly should have faith in.
About the authorYoshihiro Kitamura
Latest paper: "The impact of order flow on the foreign exchange market: A copula approach" (2011) Asia-Pacific Financial Markets. Volume 18, Number 1, 1-31
Frugal Innovations: when less is more
19.04.2017 | Fraunhofer-Institut für Arbeitswirtschaft und Organisation IAO
Europe's microtechnology industry is attuned to growth
10.03.2017 | IVAM Fachverband für Mikrotechnik
The world's highest gain high power laser amplifier - by many orders of magnitude - has been developed in research led at the University of Strathclyde.
The researchers demonstrated the feasibility of using plasma to amplify short laser pulses of picojoule-level energy up to 100 millijoules, which is a 'gain'...
Staphylococcus aureus is a feared pathogen (MRSA, multi-resistant S. aureus) due to frequent resistances against many antibiotics, especially in hospital infections. Researchers at the Paul-Ehrlich-Institut have identified immunological processes that prevent a successful immune response directed against the pathogenic agent. The delivery of bacterial proteins with RNA adjuvant or messenger RNA (mRNA) into immune cells allows the re-direction of the immune response towards an active defense against S. aureus. This could be of significant importance for the development of an effective vaccine. PLOS Pathogens has published these research results online on 25 May 2017.
Staphylococcus aureus (S. aureus) is a bacterium that colonizes by far more than half of the skin and the mucosa of adults, usually without causing infections....
Physicists from the University of Würzburg are capable of generating identical looking single light particles at the push of a button. Two new studies now demonstrate the potential this method holds.
The quantum computer has fuelled the imagination of scientists for decades: It is based on fundamentally different phenomena than a conventional computer....
An international team of physicists has monitored the scattering behaviour of electrons in a non-conducting material in real-time. Their insights could be beneficial for radiotherapy.
We can refer to electrons in non-conducting materials as ‘sluggish’. Typically, they remain fixed in a location, deep inside an atomic composite. It is hence...
Two-dimensional magnetic structures are regarded as a promising material for new types of data storage, since the magnetic properties of individual molecular building blocks can be investigated and modified. For the first time, researchers have now produced a wafer-thin ferrimagnet, in which molecules with different magnetic centers arrange themselves on a gold surface to form a checkerboard pattern. Scientists at the Swiss Nanoscience Institute at the University of Basel and the Paul Scherrer Institute published their findings in the journal Nature Communications.
Ferrimagnets are composed of two centers which are magnetized at different strengths and point in opposing directions. Two-dimensional, quasi-flat ferrimagnets...
24.05.2017 | Event News
23.05.2017 | Event News
22.05.2017 | Event News
29.05.2017 | Earth Sciences
29.05.2017 | Life Sciences
29.05.2017 | Physics and Astronomy