Thursday, April 28, 2005

Economy_Why Japan said sorry?

A reader asked my idea about the apology from Junichiro Koizumi several days before. I think his words is good for the relation between China and Japan, but more importantly, the soft word from the Prime Minister shows that Japan couldn't afford the economic expense to cut off the relation with China at this time.

Take a look at Japan's economy. It has experienced deflation for seven years, and fell into recession last year as exports faltered and consumer spending stalled. The Bank of Japan today held borrowing costs at almost zero to support a recovery in the world's second-largest economy. The industrial production unexpectedly declined in March, reported Bloomberg.

A former diplomat in Japan said in a story on Japan Times that Japan must maintain its quiet and patient stance toward China and support the Chinese people in their struggle to become a wealthy and democratic nation. But that's only official diplomacy words. The real words is that Japan and China are neither strong enough to oppost at each other: Japan, the second-largest economy in the world, now suffered from a seems-never-ending recession, while China has tried to cool the over-heated economy.

So, soilders rest.

1 comment:

無塵工作室 said...

Both sides are closely tied economically. It's energy politics as well.