In the recent yaears, there are many civil of economic around the world. Every countried had different problems. Japan is a country which got an effect too. I think every countries must have debt. Japan is a country which has high dept. I am interested that how it solved with this problem because it is very high rate. Then the country must maintain their credit too.
Japan's government debt had more than 10 trillion dollars in the end of June. It raised up 21.15 trillion yen from the end of March. Prime Minister Naoto Kan's government has tried to solve this problem by cutting the industrialised world's biggest public dept. It is around 200 percent of gross domestic product. He would reduce the government spending and bond issuance in a bid. Moreover, he will increase Japan's five percent consumption tax to reduce dept. However, it is not sure that this plan would success because he told about this plan and then he lost an election. If this plan fails, Japan's credit rating will be reduced by Ratings agency Standard&Poor's. Therefore, They had conferred about the tax between two party.
I feel this plan is interesting, but it comes with the problem about an election. It was hard to continue the plan when the party was changed. Because it wasn't planed by a new party. Therefore, The members of a new party must talk carefully with an old party about the plan to reduce debt.
source:http://www.google.com/hostednews/afp/article/ALeqM5iP9QSncajem36kPyWFWR7Hod3XiA
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