Posts Tagged ‘South Korea’

Remember When Japan Was Going To Take Over the World?

Monday, February 13th, 2017

Do you remember those fabulous 80s?

Reagan was President, cyberpunk was new, and Jennifer Grey had a nose.

Also, everyone knew that Japan was going to take over the world.

Giant Japanese electronic companies like Sony, Toshiba and Fujitsu were leaders in their markets, Japan had a big export surplus, and Japanese companies were buying up iconic American assets like Rockafeller Center. Experts assured us that Japan was ascendant and that we needed to follow the “Japan Inc.” model of public/private partnerships, as well as the heavy vertical integration of the Japanese zaibatsu conglomerates, if we wanted to compete in the world market.

It turns out that almost all that just about every aspect of that prescription was horribly wrong:

Fast-forward 30 years. When one of Japan, Inc.’s leading corporations makes the news, as often as not it’s the result of an accounting scandal in which corporate profits were grossly overstated for years as a matter of policy–a policy intended to mask the stagnation in the company’s sales, product lines, competitive position and profits.

What happened to the often-copied, much-vaunted Japan, Inc.? Many observers see Japan’s core problem as demographics: as its birth rate has fallen below replacement levels, the population of Japan is aging rapidly. Since young people start households and spend money, economic growth depends largely on the spending of young people rather than the declining spending of older people.

While a decline in the youthful demographic certainly impacts growth, this view overlooks the larger problem: Japan, Inc.–its educational system, government, banking and corporate sector–was optimized for the mode of production that existed in the postwar world from the late 1940s to the late 1980s.

Now that the Digital-Industrial Revolution is remaking the way goods and services are produced and distributed, the system that worked wondrously well in 1960 no longer aligns with the needs of this emerging mode of production.

In the 1980s, Japan’s optimized-for-industrial-exports system reached its zenith, and many US pundits built careers predicting that Japan would soon eclipse the US in every economic and financial metric.

But the excesses of Japan’s banking sector and the rise of new technologies that didn’t lend themselves to gradual improvement and vertically integrated corporations disrupted the predictions of Japan’s global dominance.

Just as Sony ate the lunches of slower, less efficient American companies like RCA, soon the Japanese electronic giants found themselves being beaten by more nimble and disruptive international competitors like Apple and Samsung.

Toshiba is now so broke they may need to spin-off their semiconductor business, despite it being the most central and profitable business in their company, probably because building a new state-of-the-art 300mm wafer fabrication plant for 10nm process technology can now cost up to $14 billion.

Many other Japanese companies have been rocked by accounting scandals:

In the five years since a $1.7bn accounting scandal was uncovered at Olympus, the number of improper accounting cases exposed each year in Japan has nearly doubled. It hit an all-time high of 58 cases in the 2015-16 fiscal year, according to Tokyo Shoko Research, which provides data on corporate failures.

In many cases, the revelations have shone a light on malpractice and subterfuge dating back years — the legacy of management terrified of failure but left fighting decades of economic stagnation, squeezed costs and a shrinking domestic market.

And those demographics don’t make anything easier:

Children accounted for 12.8% of the population, the ministry said. By contrast, the ratio of people aged 65 or older was at a record high, making up 25.6% of the population. Jiji Press said that, of countries with a population of at least 40 million, Japan had the lowest ratio of children to the total population – compared with 19.5% for the United States and 16.4% for China…

The proportion of people aged 65 or over is forecast to reach nearly 40% in 2060, the government has warned.

Japan’s government has been running huge budget deficits since 2009, and debt now stands at about twice the size of the economy.

For a while, the South Korean chaebol looked like they were going to supplant the Japanese zaibatsu as world beaters, but Samsung and LG have started running into some of the same problems.

The lesson here is not “Merica, fark ye!”, it’s that capitalism works. The creative destruction of capitalism is necessary to keep economic progress moving forward. My biggest fear is that in his efforts to save American jobs, President Trump will prop up the GMs and Boeings of the world at the expense of smaller, nimbler competitors looking to supplant them.

For the country’s long-term economic well-being, government should get out of the business of picking winners and losers entirely.

LinkSwarm for February 10, 2017

Friday, February 10th, 2017

Welcome to another Friday LinkSwarm! Here in Texas it’s looking a lot like Spring.

This LinkSwarm is heavy on border control and jihad issues.

  • The 9th Circuit’s dangerous and unprecedented use of campaign statements to block presidential policy.”

    By accepting the use of preelection statements to impeach and limit executive policy, the 9th Circuit is taking a dangerous step. The states’ argument is in essence that Trump is a bigot, and thus his winning presidential campaign in fact impeaches him from exercising key constitutional and statutory powers, such as administering the immigration laws.

    This would mean that Trump is automatically disbarred, from the moment of his inauguration, of exercising certain presidential powers, not because of his actions as president, but because of who he is — that is, how he won the presidency.

    (Hat tip: Instapundit.)

  • When Judge James Robart stated that “no” terrorists had attacked America from the countries on President Trump’s travel ban, he was engaged in the rhetorical device known as lying his ass off. “At least 60 people born in the seven countries had been convicted — not just arrested, but convicted — of terror-related offenses in the United States since Sept. 11, 2001.” (Hat tip: Ace of Spades HQ.)
  • Trump’s sanctuary city and terrorist-supporting state travel bans are his most popular executive orders. To quote Mark Steyn yet again, “‘divisive’ appears to be elite-speak for ‘remarkably popular.'” (Hat tip: Ace of Spades HQ.)
  • Rotherham sex abuse gang shout ‘Allahu Akbar’ as they are jailed for total of 81 years for sexually abusing girls.”
  • Most Europeans oppose further Muslim immigration. Can’t imagine why…
  • Among them: this Swedish cop:

    Here we go; this is what I’ve handled from Monday-Friday this week: rape, rape, robbery, aggravated assault, rape-assault and rape, extortion, blackmail, assault, violence against police, threats to police, drug crime, drugs, crime, felony, attempted murder, rape again, extortion again and ill-treatment.

    Suspected perpetrators; Ali Mohammed, Mahmod, Mohammed, Mohammed Ali, again, again, again. Christopher… what, is it true? Yes, a Swedish name snuck in on the edges of a drug crime. Mohammed, Mahmod Ali, again and again.

    Countries representing all the crimes this week: Iraq, Iraq, Turkey, Syria, Afghanistan, Somalia, Somalia, Syria again, Somalia, unknown, unknown country, Sweden. Half of the suspects, we can’t be sure because they don’t have any valid papers. Which in itself usually means that they’re lying about their nationality and identity.

  • Scott Adams abandons all support for UC Berkeley in the wake of the Milo riot:

    I’m ending my support of UC Berkeley, where I got my MBA years ago. I have been a big supporter lately, with both my time and money, but that ends today. I wish them well, but I wouldn’t feel safe or welcome on the campus. A Berkeley professor made that clear to me recently. He seems smart, so I’ll take his word for it.

    I’ve decided to side with the Jewish gay immigrant who has an African-American boyfriend, not the hypnotized zombie-boys in black masks who were clubbing people who hold different points of view. I feel that’s reasonable, but I know many will disagree, and possibly try to club me to death if I walk on campus.

    Yesterday I asked my most liberal, Trump-hating friend if he ever figured out why Republicans have most of the Governorships, a majority in Congress, the White House, and soon the Supreme Court. He said, “There are no easy answers.”

    I submit that there are easy answers. But for many Americans, cognitive dissonance and confirmation bias hide those easy answers behind Hitler hallucinations.

  • Just in case you were unclear: President Trump is not Hitler. (Hat tip: Scott Adams, IBID.)
  • #Winning.
  • House Democrats are going on a retreat in Baltimore where they’ll go over an autopsy of the election. Will they learn from their many mistakes? “The Baltimore retreat, which will take place at the scenic Inner Harbor, will focus on the party’s fight for all Americans and feature speeches from top Democrats and various celebrities, including Kareem Abdul Jabbar and Chelsea Handler, as the party looks to get back on track.” Signs point to “No”… (Hat tip: Director Blue.)
  • Both Steve Bannon and Reince Priebus want you to know that they are not bitter enemies fighting for influence in the Trump White House. The truth is that they are “rather chummy.” (Hat tip: Ann Althouse.)
  • President Trump’s chess game:

    In the end it would appear that Trump is playing the kind of game that I was taught to play by my coach. His opponents are never given time to mount an attack. Their queen – the MSM has been removed from the board and their favorite piece – the Celebrities are locked in a war of attrition while Trump gets the rest of his pieces on the board. Remember, these are all Tactics but Strategy flows from Tactics. Sooner or later the Left will find itself in some terrible position and the Strategy to drain the swamp will present itself.

    (Hat tip: Zero Hedge.)

  • “Leftists said if Trump won, that there’d be violent mobs of hate, and intolerant fascists would try to silence those with whom they disagree. And they were right. It just was by a group of people from which they didn’t expect it: themselves.” (Hat tip: Director Blue.)
  • NSA contractor allegedly stole over 500 million documents. The news came out October last year (I guess reporting yet another giant classified data breach was something the media wasn’t too wild about digging into in the election homestretch), but he was just indicted yesterday. (Hat tip: Ace of Spades HQ.)
  • Concision. (Hat tip: Director Blue.)
  • “Well, with Trump, Modi, Brexit, and now France, there are some similar problems in those countries. What you are hearing is people getting fed up with the ruling class. This is not fascism. It has nothing to do with fascism. It has to do with the faux-experts problem and a world with too many experts. If we had a different elite, we may not see the same problem.”
  • Nikki Haley’s first speech at the UN blasts Russia over their continued occupation of Ukraine. (Hat tip: Instapundit.)
  • Secretary of Defense Mattis was a big hit in both Japan and South Korea.
  • Quitaly seems increasingly likely.
  • Is Russia helping the Taliban?
  • “Meet Denmark’s new anti-Islam, anti-immigration, anti-tax party.”
  • Gun sales finally dip. Obviously gun owners don’t feel like NRA-endorsed President Trump is a threat to take their guns, unlike “World’s Greatest Gun Salesman Obama.” It also suggests that those of us in the Vast Right Wing aren’t even remotely worried about that mythical leftwing “resistance” launching an actual civil war. (Hat tip: Ace of Spades.)
  • Whistle-blower reveals that, yes, the NOAA lied about climate data.
  • Senator Tim Scott (R-SC) shares some of that vaunted liberal tolerance that’s been sent his way:

  • American feminists: Rich White Girl Problems. (Hat tip: Instapundit.)
  • Texas Senate passes sanctuary city bill.
  • Tennessee bill: Get off the road, you leftwing lunatic!
  • Can an average engineer earn more in a lifetime than an average NFL player? The study says yes, but I think the engineering pay average ($125,418) is probably a bit on the high side (I suspect California companies were oversampled).
  • Anonymous takes down a ton of child porn sites.
  • Pizza parties for abortion quotas.
  • Infosys sued for descriminating against Americans. (Hat tip: Director Blue.)
  • Twitter lost $457 million last year:

    Twitter had decided, in an election year, to surrender control of its platform to a crew of feminist social justice warriors (SJWs) designated the “Trust and Safety Council.” This secretive group of Soviet-style commissars included the notorious anti-male hatemonger Anita Sarkeesian, and soon Twitter began purging conservative accounts…. Jack Dorsey had made his company part of the Democrat Party’s campaign team and four months later, when Twitter banned popular commentator Milo Yiannopoulos, the partisan nature of “Trust and Safety” became transparent. Banning conservatives from Twitter was Dorsey’s contribution-in-kind to the Democrats.

  • And that’s the 10th consecutive quarter of declining revenue for Twitter.
  • Twitter suspends a cartoon, presumably for offending SJW types.

  • FYI: He He Silly Comics are still on Gab. I really should activate my account there…
  • Marvel to knock it off with the Social Justice Warrior bullshit that’s been costing them sales.
  • This lawsuit goes to 11.
  • So Blizzard is worried that the user experience on consoles isn’t shitty enough.
  • “I didn’t say I had mice in my cellar, I said I had moose.”
  • A Reminder of Why I Dropped CNN As My Browser Home Page

    Friday, March 26th, 2010

    Some of you may remember that I used to have CNN as my browser homepage, but changed to Instapundit instead, mainly due to CNN’s liberal bias, the ever-shrinking amount of real news, and their fugly redesign.

    So today, with a possible war brewing between North and South Korea, what do you think CNN’s top story is?

    “Model, alleged drug queen on the lam”

    Also, it’s an embedded Flash video, with no apparent transcript available, and seems to exist mostly to pimp the story on one of their shows tonight.

    Thanks, CNN, for reminding me why I dropped you, and why Fox News is kicking your ass.