Replying to Avatar hh

Yes, but it is the government of Japan who allows this. They are perfectly fine with low rates so they can service their tremendous, gigantic, public debt, and keep borrowing on the cheap. And a weak yen upholds exports, which is exactly what a shrinking internal market needs.
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Super Testnet 2y ago

Japan might *want* to continue selling bonds at low rates but who will buy them? You can get an American bond that pays out a lot higher rate in a money that's not tanking as hard. I don't think it's a very sustainable path for them.

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hh 2y ago

Who? The same one that's a top 10 shareholder in 40% of all the Tokyo Exchange-listed companies: the Bank of Japan. Do you think they got to a 270% GDP debt with retail holders only?

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Super Testnet 2y ago

Sure but if they just rely on the central bank to print cash to buy that debt it will make their inflation even worse. They seem to be far along the path to Weimar if they do that. Much farther than the US is even.