{"id":6319,"date":"2015-03-08T08:57:40","date_gmt":"2015-03-08T13:57:40","guid":{"rendered":"http:\/\/olduvai.ca\/?p=6319"},"modified":"2015-03-08T08:57:40","modified_gmt":"2015-03-08T13:57:40","slug":"the-monetary-illusion-again-in-trade","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=6319","title":{"rendered":"The Monetary Illusion Again in Trade"},"content":{"rendered":"<h3 class=\"entry-title\"><a href=\"http:\/\/www.alhambrapartners.com\/2015\/03\/06\/the-monetary-illusion-again-in-trade\/\" target=\"_blank\">The Monetary Illusion Again in Trade<\/a><\/h3>\n<p>Just as a follow-up to further highlight and emphasize the \u201cmonetary illusion\u201d of currency devaluation in\u00a0<a href=\"http:\/\/www.alhambrapartners.com\/2015\/03\/06\/dismal-january-rolls-on-for-now-total-global-trade\/\" target=\"_blank\">this closed environment<\/a>, the yen\u2019s returned devaluation against the \u201cdollar\u201d more recently has renewed confusion (or intentional misdirection) about what Abenomics is supposedly accomplishing. Taken solely from the perspective of the Japanese internally, exports to the US are once more growing, and doing so rather sharply. December\u2019s year-over-year gain, in yen, was almost 24% while January came in at an equally robust 16.5%.<\/p>\n<p>Taken by themselves without context, it would seem great fortune and monetary capability to gain in exports at such huge growth rates. But, as I have shown time and again, what goes out of Japan is matched by what comes in to the US. For all that buzz over huge export growth, nothing much shows up on this end.<\/p>\n<p><a href=\"http:\/\/www.alhambrapartners.com\/wp-content\/uploads\/2015\/03\/ABOOK-March-2015-Illusion-Japan-US-Latest.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-28819\" src=\"http:\/\/www.alhambrapartners.com\/wp-content\/uploads\/2015\/03\/ABOOK-March-2015-Illusion-Japan-US-Latest.jpg\" alt=\"ABOOK March 2015 Illusion Japan US Latest\" width=\"661\" height=\"361\" \/><\/a><\/p>\n<p>Both months were positive in \u201cdollars\u201d but barely and thus no actual growth took place. Economists and central bankers even concede the disparity, but don\u2019t much care about it. They simply assume that Japanese exporters now flush with more yen will hire more workers and pay the ones they have even more, igniting that virtuous circle of \u201caggregate demand.\u201d In reality, why would they do that?<\/p>\n<p>&nbsp;<\/p>\n<p>&#8230;click on the above link to read the rest of the article&#8230;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Monetary Illusion Again in Trade Just as a follow-up to further highlight and emphasize the \u201cmonetary illusion\u201d of currency devaluation in\u00a0this closed environment, the yen\u2019s returned devaluation against the \u201cdollar\u201d more recently has renewed confusion (or intentional misdirection) about what Abenomics is supposedly accomplishing. Taken solely from the perspective of the Japanese internally, exports [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[951,1099,212,1784,2520,452,4011,4010,805,1478],"class_list":["post-6319","post","type-post","status-publish","format-standard","hentry","category-economics","tag-currency","tag-currency-devaluation","tag-dollar","tag-exports","tag-imports","tag-japan","tag-monetary-illusion","tag-redistribution-doesnt-work","tag-trade","tag-yen"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/6319","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=6319"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/6319\/revisions"}],"predecessor-version":[{"id":6320,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/6319\/revisions\/6320"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=6319"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=6319"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=6319"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}