Japan Contracting

Herbert W. Armstrong with then Japanese Prime Minister Nakasone

Despite high savings rates and extensive industrial capacity, Japan is having its own problems with the economy:

Japan faces ‘unimaginable’ contraction

Financial Times – Feb 9, 2009

Japan’s economy faces an “unimaginable” contraction, the chief economist of its central bank warned on Monday, as figures revealed surging bankruptcies and a big fall in machinery orders.

The warning from Kazuo Momma, head of the Bank of Japan’s research and statistics department, underscored the gloom surrounding the world’s second-largest economy as export orders dry up, companies shut down production lines and consumers stop spending.

Japan, where industrial output plunged a record 9.6 per cent month on month in December, is due to announce fourth-quarter gross domestic product data next week. Polls of economists suggest GDP will have fallen more than 3 per cent compared with the previous quarter – an annualised decline of more than 10 per cent.

“From October to December the scale of negative growth [in GDP] may have been unimaginable – and we have to consider the possibility that there could be even greater decline between January and March,” Mr Momma said in a speech on Monday.

His remarks came as a private research company reported a 16 per cent year-on-year rise in the number of bankruptcies among Japanese companies to 1,360 in January, the highest level for six years. Total debts left by failed companies rose 44 per cent from a year earlier to Y839bn ($9.2bn), Tokyo Shoko Research said…

The Japanese gloom was replicated in Taiwan, Asia’s sixth-largest economy. In January exports fell by 44.1 per cent from a year ago, the biggest decline since government records began in 1972. It was the fifth consecutive month that exports have shrunk.http://www.ft.com/cms/s/0/97ad993c-f6b9-11dd-8a1f-0000779fd2ac.html

There are prophecies in the Old and New Testament that seem to refer to the nation of Japan.

Because of them, It appears likely that ultimately Japam will likely ally militarily with Taiwan, China, and other nations in Asia. But prior to that, it will likely shift its export emphasis to Europe.

Some articles of possibly related interest may include:

Asia in Prophecy What is Ahead for China? Is it a “King of the East”? What will happen to nearly all the Chinese, Russians, and others of Asia? China in prophecy, where? Who has the 200,000,000 man army related to Armageddon?
Japan, Its Biblical Past and Future, Part 1: Any Witness? This is a draft of an in-process article about Japan. Have they had any witness?
Japan, Its Biblical Past and Future, Part 2: Prophecy Japan in prophecy. What is prophesied for Japan. Will God save the Japanese?
Islands and Bible Prophecy What’s ahead for islands? What does the Bible prophesy about them?
Europa, the Beast, and Revelation Where did Europe get its name? What might Europe have to do with the Book of Revelation? What about “the Beast”? What is ahead for Europe?