There are lot of part-timers etc. (freeters) and NEETOs (not in education,
employment, and training). It's like the discouraged workers in the US who
don't get counted in the unemployment stats.

The "giving" however is problematic, two decades of recession and if it
hasn't given does say something about some buffers somewhere that continues
to prevent the crash that commentators have been predicting for more than a
decade. But this is not to deny some deep rooted problems. The
institutional stickiness I referred to has to do with how Japanese business
operate, in addition to labor market inflexibility, although as it was
pointed out labor markets have become more flexible with contract and
insecure work.

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Anthony P. D'Costa (POSCO Visiting Fellow, East West Center, Honolulu)
Chair & Professor of Contemporary Indian Studies
 Australia India Institute and School of Social & Political Sciences
University of Melbourne, 147-149 Barry Street, Carlton VIC 3053, AUSTRALIA
Ph: +61 3 9035 6161

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On Wed, Sep 24, 2014 at 7:03 AM, raghu <[email protected]> wrote:

> On Tue, Sep 23, 2014 at 8:05 PM, Marv Gandall <[email protected]> wrote:
>
>>
>> On Sep 23, 2014, at 1:50 PM, raghu <[email protected]> wrote:
>>
>> > Per the article you cited, the results seem rather mixed.
>>
>> I didn’t see this in the article, but perhaps a case can be made. In what
>> way, “mixed”?
>>
>
>
>
> Well, inflation is up and unemployment is way down. Against that, you have
> the lack of wage growth. I think the GDP numbers are hard to interpret one
> way or another, but a negative "real GDP" number may merely be a reflection
> of high inflation.
>
> I don't think a prolonged period of low unemployment is compatible with
> low wage growth, so something will have to give. But it seems to me that
> this could go either way.
> -raghu.
>
>
>
>
>
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