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Complementing of Capitalism by New Economic System

index
Chapter 1: First
Chapter 2: The properness of value-capital
Chapter 3: The influence over the economy by the value-capital
Chapter 4: The appearance of the new economic system
Chapter 5: The donation of the value-capital
Chapter 6: The advantage of the new economic system
Chapter 7: At the end


Chapter 1: First
At present, Japanese economy is under the depression which we have not experienced formerly after the World War 2. On the other hand, established economic policies cannot do much against the depression.
The increase of public investment by pump priming benefits only partial industry, doesn't suit the economic actualities that all industries become alike service industries and doesn't have a linkage with private capital investment. We cannot expect too much of synergy effect, too. Also, the reaction of pump priming will come out in the future. We could not continue anticyclical measures for many decades and measures after that becomes a problem.
Tax reduction, especially, permanent tax reduction is effective, but they need fiscal resources and it connects with tax increase in the future. Also, there is fear of its being used for savings.
Even if they make the decline of an interest rate in their monetary policy, when companies cannot expect demand actually, they don't make capital investment. People hesitate to ask for a home loan, too.
The upbringing of new industries is, of course, the policy which they should carry out but costs much money and time before it becomes effective. And their foresight is necessary. Also, the creating and expansion of demand of the whole economy by the structural reforms cannot be very expected and doesn't have immediate effect, too.
Economic recovery by export drive isn't allowed and growth by domestic demand is demanded.
Then, it is because of the future with the arrival of aging society, declining birth rates, the aggravation of the finance, the fear of having bigger burdens in the future, the slumping economy (restructuring and professional insecurity and so on) making us nervous that consumption is dull. If attempting economic recovery by public investment and tax reduction, finance is aggravated and anxieties pile up in time to come. A new economic policy for the economic recovery is necessary. Lately we are becoming to share the recognition of inability of conventional economic policies.
By the way, the main culprit for the depression is the disappearance of 1,000,000 billion yen, which is due to the sagging of the price of land and stocks. It occurred in the process of clearing the big bubble. When 1,000,000 billion yen vanished like smoke, they received it as a natural thing. If the existence of 1,000,000 billion yen were a trivial matter from the economic point of view, I would like to make it exist and use for anti recession policy. I have a simple question to the idea that regards the ability of the market as almighty and the result of moneymaking on the market as impossible to move. A new system to complement the present market system is wanted.

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