Japan did have a financial crisis in the 1990s (the 'mother of all financial crises'), and since then has experienced stagnation: per capita GDP fell from 80% of US levels in 1990 to 60% today, they've fallen behind France, UK, and Germany whom they once exceeded, and now face trouble as inflation forces them to cut pensions and reduce debt-financed benefits because interest payments have become unsustainable.

factualpending

Speaker

Kenneth Rogoff

Evidence Quote

They've fallen far behind. And they're in trouble now because uh they're finally having inflation.

Source

Kenneth Rogoff on Monetary Moves, Fiscal Gambits, and Classical Chess | Conversations with TylerMercatus Center
Created: 8/11/2026, 7:10:38 AM

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