Bloomberg: Japan Citizens: Will it Work?

https://www.yahoo.com/news/japan-counting-obedient-citizens-lock-150001438.html

Article:

(Bloomberg) -- Prime Minister Shinzo Abe has called for a state of emergency as Covid-19 cases jump in Tokyo and worries mounted that Japan could be the next developed nation to see an explosive surge in infections. The declaration would cover seven regions including Tokyo and Osaka and last for about a month.

The measure would hand power to local governments to try to contain the virus, including by urging residents to stay at home. It would be the first such declaration under a law revised last month, but will not result in a European-style “lockdown.” Due to civil liberties enshrined in Japan’s postwar constitution, the government cannot send police to clear people off the streets, as has happened in places including France, Italy and the U.K. The country’s strongest enforcement measure could be public obedience -- and it remains to be seen whether that will be enough.

Comments and Ideas:

Japanese citizens are usually very understanding of the need for cooperation in matters such as this. However Japan is not the Japan of twenty or thirty years ago when citizens were mindful of the need for civil obedience. Japan has become much more, maybe too much globalized or westernized and you might have some who might not feel the need to be so civil. 

But of course strong government messaging along with continuous media coverage or the need for "social distancing" most surely will help some most situations.

Then there is still the need for businesses to follow suit and allow workers to work from home. Both permanent and non-permanent workers.

Article:

1. What would an emergency declaration mean?

The main effect will be to increase the powers of prefectural governors. The prevalence of the virus varies widely among the country’s 47 regions and prefectures, with Tokyo seeing a rapid surge and three regions yet to confirm any cases as of April 5. The seven regions Abe proposed are Tokyo and the surrounding prefectures of Kanagawa, Chiba and Saitama, as well as Osaka, Hyogo and Fukuoka. Under an emergency, a governor can urge local people to avoid unnecessary outings, but residents would have the right to ignore the request, and there are no penalties for disobedience. Police wouldn’t be involved in enforcement, according to lawyer Koju Nagai of Answer Law Office in Kobe.

“I want to make clear once again that, even if an emergency is declared, we will not impose a lock down as has been done overseas,” Abe said Monday. “It is the opinion of our experts that that isn’t necessary.”

Comments and Ideas:

Again it all depends on the good faith, good will of the citizens and businesses as they eventually will see the importance of the lock down. Work from home. Go to supermarkets, conbinis, and or pharmacies only, and for a short time try to avoid unnecessary outings. The curve most likely can be flattened if everyone has a little patience.

But then, the most important thing is societies will need to learn to live and work in the midst of some risk until a vaccine is found or some other products that are already in existence become known.

No economy or society can survive a six month lock down. 

Article:

2. What about businesses?

Businesses could be asked to shut down, and ordered to do so if they don’t comply with the request, but again there are no penalties for non-compliance. Punishments are, however, specified for a small number of offenses, including hiding supplies that have been requisitioned by local authorities. Tokyo has already been urging people to work from home as far as possible -- something that’s caused consternation among many small businesses not set up for remote work. The emergency declaration also allows local authorities to control prices of daily essentials, provide loans through government-related financial institutions and make compulsory purchases of food and medicines.

Comments and Ideas:

All of the above seem reasonable. Businesses should allow their workers to work from home, as much as possible. Governments and such should help small and medium sized businesses incorporate remote work into the businesses. 

Price controls, in this situation, is very much needed, as businesses humans will take advantage of others and become too greedy. For the good of society, price controls are needed. 

Financial institutions, with the help of the Bank of Japan, should be as liquid as possible for whomever needs the funds for whatever. Small businesses and families especially will need the help.

Article:

3. Will people obey the requests?

Tokyo Governor Yuriko Koike has begun a PR campaign to get residents to stay home and many of the capital’s central shopping areas were nearly deserted at the weekend. Several large retail and amusement businesses have opted to close outlets voluntarily and the city’s main parks were closed. Some suburban shopping areas, however, were bustling and pachinko parlors continued to operate, indicating that people may be continuing their usual routines closer to home. Even as infection numbers have ticked up in big cities, trains were still packed with commuters heading to offices. Japan has had the fewest confirmed infection numbers of any Group of Seven countries at about 3,700 as of Monday.

Comments and Ideas:

Unfortunately, not all citizens are compliant or willing to sacrifice some for the good of society. It seems not even in Japan now days. Businesses need to transition to remote work, as much as possible. Maybe its time for Japanese businesses who haven't to enter the 21st century and embrace tele-work, remote work, working from home. Be more flexible. Learn to adapt and change. Learn a new way of doing business, find a new way of doing business. 

Article: 

4. What could be the economic hit?

Companies including Starbucks Corp., retailing giant Aeon Co. and movie theater operator Toho Co. temporarily shut some outlets over the weekend. More businesses would likely follow suit if the request were made with the legal backing of an emergency declaration. But Economy Minister Yasutoshi Nishimura has warned that something like a lockdown of Tokyo or Osaka could deal a blow to the economy. The Tokyo metropolitan area alone accounts for about one-third of the country’s gross domestic product, which would make it the world’s 11th largest economy. Banks are expected to remain open under any emergency declaration, and the Tokyo Stock Exchange said it will continue to operate.

Comments and Ideas:

Yes a lock down is going to hurt the economy. But for the short term maybe it can't be avoided.This is where the government should step and provide aid packages for those companies who are hurt by the lock down. Provide enough incentives to companies to shut down in the lock down and or companies can shorten their hours to lessen the damage.

If we look at the Shibuya street crossing camera, now in April we see almost no one crossing. Just a few but certainly not the numbers on a normal work day. So citizens and workers are complying with the lock down in Tokyo. Or at least at this location.

Article:

5. Could Japan eventually take a harder line?

While the U.K. has introduced a fine of about $75 for individuals breaching lockdown rules and Hong Kong warned residents of prosecution for violating quarantine measures, any attempt to add teeth to the Japanese law would raise hackles in the country, where painful memories of early 20th century authoritarianism linger. The Japan Federation of Bar Associations opposed the legislation under which an emergency can be declared, even though most of its stipulations cannot be enforced. “Emergency situations were misused a great deal in Japan before the war,” said lawyer Nagai. “Japan was hurt by that in the past. Freedoms were limited, and once those freedoms are limited, it’s hard to restore them.”

Comments and Ideas:

Again in the past Japanese society has been a complaint society, understanding the need for doing what is good for the good of society. But even Japan has changed, and not all citizens are as complaint as thirty years ago. But this situation just might shock people back into a sense of the need to be more concerned about other people and not just themselves. 

Of course that hasn't been so true with the hording of food, tissue and face masks lately.

Have a nice day and be safe out there!

© 2020, Tom Metts, all rights reserved

Mainichi: Japanese Business Sentiment:

https://mainichi.jp/english/articles/20200401/p2g/00m/0bu/038000c

Article:

TOKYO (Kyodo) -- Business sentiment among large Japanese manufacturers fell into the negative in March for the first time in seven years, weighed down by fears of the global economic fallout from the coronavirus crisis, the Bank of Japan's Tankan survey showed Wednesday.

Comments and Ideas:

This is not a surprise as many companies are feeling the same. But I wonder, what is the real worry, declining sales and profits and or the worry of stockholders and what they are thinking. It seems today, the obsession with what stockholders are thinking seems to dominate many big companies.

Japanese companies used to take a long term approach, meaning when there were setbacks or quarters of not so good growth, it wasn't the end, it was just a temporary business cycle situation meaning ups and downs were expected in the normal flow of business.

Article:

The key index measuring confidence among companies such as automobile and electronics makers dived to minus 8 from zero, the lowest level since March 2013 when it also marked minus 8. The result was stronger than the average of minus 10 forecast in a Kyodo News poll.

The index for large non-manufacturers including the service sector slid to 8, falling sharply from 20 in the December survey but above the market consensus of 4.

Comments and Ideas:

As with any survey, they have to be taken with a grain of salt, meaning you never know exactly if every company thinks the same way, as any sector or industry is very complicated. But yes, it might not look good but that doesn't always mean bad for all companies within an industry or sector. OK, yes, we can say all the airlines are not doing good etc. and we can most likely say most hotels are not doing very good too.

But somewhere, somehow, there has got to be some businesses out there who are going to persevere through this down period, and not resort to layoffs etc, for the good of all in the company and not just the stockholders, who many times only think of the next quarters profits. 

Article:

To blunt the impact of the coronavirus pandemic on the world's third-largest economy, Prime Minister Shinzo Abe has said the government is ready to compile its "boldest-ever" stimulus package including cash handouts to struggling households and small companies.

The size will be larger than the 56.8 trillion yen ($526 billion) emergency package launched during the 2008 global financial crisis, he told reporters Saturday.

Comments and Ideas: 

Lets hope Abe and the government can see the need and compassion to help those in need. And maybe not just once.

No I am not a liberal and or "B Sanders" or "socialist" type that gives everything to everyone. But these are extra ordinary times, when governments needs to step in and do what is needed for the good of society, the country, and the world. All countries are in this together.

I think the need for small businesses may be bigger than the need for large companies. Large companies, most likely can whether the storm much better than small business, which usually are always on the edge most of the year. Any change in business conditions, such as this, can set them up for challenging times.  Small business really need to be helped in this situation.

Article:

The index for big manufacturers is, however, forecast to further drop to minus 11 in the coming months amid growing concerns over the impact of the worldwide spread of the virus on production, consumption and other economic activities, as directives for staying at home have been issued in many countries to contain the virus.

In the nonmanufacturing sector, the reading for the next quarterly survey is expected to fall to minus 1, according to forecasts in the latest Tankan, as the tourism and retail industries are expected to face a severe business environment due to the lack of inbound tourists.

The government plans to ban the entry of foreigners from 49 countries and regions including the United States and China.

Comments and Ideas: 

Again big manufacturers might be able to whether this storm better than small companies. They usually have enough resources to overcome many crisis, but yes, this crisis might not be so good for everyone. But then again, they also might need help too in the future. But lets hope,also, they see the big picture and not just layoff employees who they are eventually going to need in the future.

Tourism and retail, big and small retail, and hotels and airlines are the areas that are going to need the most help. The Japanese tourism industry the last five years as mainly depended almost mostly on foreign tourists, especially from China. 

But with the continued ban on tourists being able to come to Japan, its going to get worse.

There has got to be a better way for the good of all countries, societies, and economies.

Have a nice day and be safe out there!

© 2020, Tom Metts, all rights reserved

Mainichi: ANA: At Least Not Complete Layoffs.

https://mainichi.jp/english/articles/20200401/p2g/00m/0bu/020000c

Article:

TOKYO (Kyodo) -- All Nippon Airways Co. and its labor union agreed Tuesday on have 6,400 of its cabin attendants take several days of leave a month starting in April due to flight cancellations forced by the coronavirus outbreak, people close to the matter said.

Full-time flight attendants of the airline known as ANA will take three to five days a month of partially paid leave for one year, they said.

ANA has sharply cut domestic and international flights and is considering seeking around 100 billion yen ($920 million) of fresh loans from banks due to declining travel demand as the pandemic has forced the postponement of sports events, the closure of cultural and leisure facilities, and the cancellation of business and leisure trips.

Comments and Ideas:

This is better than nothing. At least ANA is trying to be humane and not just do complete layoffs for its employees, whom I hope they consider as stakeholders, meaning an important part of the company, instead of just thinking of them as labor only to be used and laid-off at the first sign of trouble.

Lets see if JAL follows suit and finds a compassionate way to help its employee stakeholders too during this crisis . Companies seem to forget and or only think of stockholders as being important, but there are three groups that should always be considered; Customers, workers/employees, and stockholders. But many companies seem to only think of customers and stockholders and some only stockholders. The workers/employees are just as important.

Of course it should be a given that customers are important. Peter Drucker yes that Peter Drucker from way back, OK 20 years or so ago, or many more, said to paraphrase, the customer is the only thing a business was in business for.

He also said, again to paraphrase, workers/employees were important stakeholders in a company, that they should not be regarded as less important than stockholders.

Japan, back in the 50's, 60's, 70's took to heart what he said and adopted many of his ideas of the importance of customers and employees to a company and not just the stockholders.

Have a nice day and be safe out there!

© 2020, Tom Metts, all rights reserved

Mainichi: Enough Said: The Article Says It All.

https://mainichi.jp/english/articles/20200331/p2a/00m/0na/021000c

Bloomberg News: Stimulus?

https://www.yahoo.com/finance/news/japan-plans-record-60-trillion-062544747.html

Article:

(Bloomberg) -- Japan’s ruling party proposed the country’s biggest-ever stimulus package worth 60 trillion yen ($554 billion) as the spreading coronavirus locks the economy in a recession.

The sum includes 20 trillion yen in fiscal measures with private initiatives and other elements likely making up the rest, according to the proposal by the Liberal Democratic Party on Tuesday. More than 10 trillion yen, or the equivalent of a 5 percentage point cut in the sales tax rate, would be handed out to the public in a combination of cash, subsidies and coupons, according to the plan.

Japan’s Economy Has Worst Outlook Since 2009 Amid Lockdown Fears

The proposal puts an initial figure on a stimulus package that Prime Minister Shinzo Abe promised on Saturday would be bigger than the economic support offered in the wake of the global financial crisis. The plan didn’t include details of how the package would be funded, though the scale of fiscal measures suggests a sharp increase in the budget deficit would be likely.

Comments and Ideas:

The stimulus looks like a good start. However, as the virus situation continues, most likely there will be need to be even more stimulus packages or even bigger packages. Every group in society should be given what is needed. Even big companies as big companies have a lot of employees. To avoid massive layoffs among the biggest companies they also should be given some relief.

At this point maybe the budget deficit should not be a concern. Japan has not relatively well the past twenty years or so with the largest debt to GDP ratio among advanced countries. So maybe Japan can handle a few more years of an increase in the budget deficit.

Article:

The main takeaway from the plan is the Abe administration’s signaling of its strong commitment to support the economy, economists said.

“There’s a lot of debate about how big the package needs to be, but right now there’s no point in debating size,” said Atsushi Takeda, chief economist at Itochu Research Institute. “The government is saying, ‘Yes, we’re worried about sorting out the nation’s finances, but right now we’ll do whatever needs to be done.’ And there’s no opposition party in Japan that’s going to disagree with that.”

The plan already leaves the door open to more stimulus down the line, flagging the need to consider more measures if needed. Past experience shows that one package is unlikely to be enough, with as many as five sets of measures unleashed between August 2008 and December 2009 as Japan battled the fallout of the financial crisis.

“Quite a few in the party hold the view that this still isn’t enough,” said Fumio Kishida, the party’s policy chief, who submitted the proposal to Abe. “I asked the premier to take leadership on this matter and put together an even bigger number for our policy response.”

Comments and Ideas:

Its good the government is saying it will do whatever needs to be done, and sort out the budget situation later. Again there might be the need for many more packages as an economy is very complicated and there many different groups that are affected. As such the government needs to make sure no group is left out and or no group is left behind. At the same time there needs to be less red tape and regulations to ensure the aid can get to those as quickly as possible.

Yes there definitely needs to be a lot more packages over the next six months. As the economy is not just going to go immediately back to normal before the virus situation.

Article:

Finance Minister Taro Aso has already called for a two-stage response to the impact of the pandemic. Kishida said on Monday that a series of packages could eventually amount to 100 trillion yen.

The latest package would be equivalent to more than 10% of the nation’s gross domestic product and calls for corporate funding measures worth more than 40 trillion yen, according to the plan. It also says the party tax panel will consider tax payment deferrals and cuts.

The plan said cash handouts would be made periodically for households and individuals whose incomes have been greatly hit by the virus. It also called for increased subsidies to companies that don’t cut jobs.

The proposal comes after a 26 trillion yen stimulus package in December and two rounds of emergency measures this year aimed at assisting businesses and workers affected by the virus.

Comments and Ideas:

Whatever the government can do most likely is very much needed for families, individuals, and small and medium sized businesses as they will most likely feel the economic downturn for a long time. Again maybe as many packages as needed over the next six months to a year to lessen the downturn.

Have a nice day and be safe out there!

© 2020, Tom Metts, all rights reserved

Mainichi: Japan Economy February News:

https://mainichi.jp/english/articles/20200331/p2g/00m/0bu/031000c

https://mainichi.jp/english/articles/20200331/p2g/00m/0bu/030000c

Industrial output article:

TOKYO (Kyodo) -- Japan's industrial output in February rose 0.4 percent from the previous month, government data showed Tuesday.

The seasonally adjusted index of production at factories and mines stood at 100.2 against the 2015 base of 100, the Ministry of Economy, Trade and Industry said in a preliminary report. The result followed a revised 1.0 percent increase in January.

The index of industrial shipments rose 2.6 percent to 99.8, while that of inventories decreased 2.0 percent to 103.8.

Based on a poll of manufacturers, the ministry expects output to drop 5.3 percent in March and rise 7.5 percent in April.

Comments and Ideas: 

Nothing really significant in terms or cause for alarm in February for the industrial output. But also, for the most part, as we are consumed by the virus news, most factories and such will continue to keep running unless there is a virus outbreak and or their supply chains are related to Chinese parts and supplies. 

The March industrial output will be the real indicator as to what happens. And as we see maybe a negative 5.3 percent for March and an increase of 7.5 percent in April, which might indicate there is some association with suppliers in China.

Employment article:

TOKYO (Kyodo) -- Japan's unemployment rate was at 2.4 percent in February, unchanged from the previous month, the government said Tuesday.

The job availability ratio stood at 1.45, down from 1.49 in January, according to the Ministry of Health, Labor and Welfare. The ratio means there were 145 job openings for every 100 job seekers.

Comments and Ideas:

Nothing really also significant for February. But again, March might be a different story. However, maybe not reporting just yet, but might there possibly be some layoffs etc because of the loss of tourists in the tourism industry?

 Maybe yes or maybe no, I guess depending on the type of business in the tourism industry, and I think Japan, more so than some other countries, takes a long term approach and or thinks of the big picture, and are not so prone to layoff employees at the first sign of decreasing profits, that we might see in for example the US.

 I prefer the Japan approach to business to the US approach. I think, for the most part, its a more humane way of doing business. But then again, how about the Japanese airline industry and what is going on there.

The global airline industry is not doing so good, which means the Japanese airline industry too. So how are they handling the situation? Hopefully they are taking a long term approach and thinking of their employees as being important stakeholders in the company and not just to be used and laid-off  or thrown away at the first sign of trouble.

Have a nice day and be safe out there!

© 2020, Tom Metts, all rights reserved

How About in Japan?:

https://www.yahoo.com/news/coronavirus-six-things-booming-sales-004713756.html

Comments and Ideas:

The virus situation obviously has changed our patterns of consumer spending. Of course the obvious and the hording of specific kinds of products. Which at first might have been just face masks, and some places, tissue, for whatever reason, I can't figure out how tissue is related to the virus situation. Of course now food items are being horded too.

But what other products are now being purchased that maybe was not as much before the virus. According to this article;

1. Bicycles and exercise products.

2. Outdoor and indoor games.

3. Home and garden items.

4. Reading items

5. Electrical products

6. Coffee type products

So how about Japan? Which of these items or other items has become more popular since the virus situation or ever since suggested or mandatory lock-downs?

Most likely in Japan, as been in the news recently, restaurants are moving quickly to delivery services to stay in business as more consumers maybe are demanding delivery or even takeout services as they don't want to be in places where there are crowds.

Maybe even convenience stores, or conbinis, might be moving in that direction too, as they might be looking at delivery type services to ease the worry of consumers.

And of course online shopping has probably increased a lot since the virus situation began, and most likely more and more retail and consumer businesses are adding an online platform, if they don't have it yet, to survive and stay in business.

So maybe we can say, the delivery industry is growing as more consumers want deliveries and more and Japanese restaurants, supermarkets, conbinis and such are looking for delivery companies to meet the demand of consumers who want deliveries instead of going to crowded places.

For example in South Korea, the delivery business is huge. Restaurants etc. don't have to have their own delivery employees. They can use a delivery service, where someone on a motor-cycle pickups up the delivery from the restaurant, and delivers it to the customer.

 And the same with other kinds of small and medium sized businesses that can't afford extra staff or employees to do deliveries. Even supermarkets and such are using different kinds for delivery services in South Korea.

Coffee shops in South Korea has not gone to delivery services, yet. But what they have done, maybe good or not good, is they have gone cashless, as least the brand name coffee brands such as Starbucks, Coffee Bean and Tea, Tom n Toms, and a Twosome Place. Then there are now a lot of low-priced coffee brands such as Ediya and Paiks Place that compete on price for the most part. While I don't agree completely with no cash, it seems to be the trend in South Korea. Even just using your smartphone to pay for whatever is now the trend in South Korea.

Most likely Japanese businesses are looking at similar ideas to survive and stay in business.

Maybe even Japanese logistics and delivery service companies are now reaching out to whomever to try and increase their business as the needs of consumers and businesses are changing rapidly. Maybe there will be a surge or increase in new logistics and delivery type companies as companies innovate to meet the needs of a changing society, economy, and businesses.

Have a nice day and be safe out there!

© 2020, Tom Metts, all rights reserved

Reuters News:

https://www.yahoo.com/finance/news/japan-feb-factory-output-seen-053808213.html

Article:

TOKYO (Reuters) - Japan's factory output likely slowed in February and retail sales dropped for a fifth straight month, a Reuters poll showed on Friday, as the coronavirus outbreak took an increasing toll on businesses and consumers.

Japan has recorded 2,113 cases of the virus and 57 deaths so far as the disease races across the world, prompting the Bank of Japan to expand stimulus while the government works to nail down a support package that sources say will total at least $137 billion.

While the stimulus likely won't prevent the world's third-largest economy from sliding into recession, analysts say it could keep businesses afloat until global demand begins to recover.

Comments and Ideas:

The factor output situation is always a major indicator. As the virus situation was increasing, factories were beginning to see the affects, as many of the factories might be suppliers and or suppliers to the factories are also feeling some of affect. Japan factories are not isolated, and the global economy, even in Japan, is very much inter-connected. 

Retail decreases at first might have been related to the typhoons and the sales tax increase, but not the virus situation is beginning to have some affect, as consumers are maybe staying away from busy or packed super markets and large shopping areas.

The idea of not sliding into a recession is not so good an idea now. But if the Bank of Japan and the government can provide enough stimulus then it might be not quite as bad, if that is possible.

Article:

Industrial output is expected to have inched up 0.1% in February from the previous month, the poll of 15 analysts showed, after a revised 1.0% gain in January.

"Domestic production activities probably didn't go as planned due to supply chain disruptions triggered by the coronavirus outbreak," said Takeshi Minami, chief economist at Norinchukin Research Institute.

"We expect factory output will fall 5% in March from the previous month and 2.0% in April on worries that declines in global demand will last longer due to the virus impact."

Comments and Ideas:

I think it needs to be careful here. We sometimes get caught up in small percentages as we see above. Does a 0.1% increase really mean that much. Or a 0.1% decrease, does it really mean that much.? Statistics sometimes don't tell the real story.

Yes of course domestic production activities were most likely as the virus in Feb. and March began to disrupt the supply chains everywhere. 

Most of the major indicators in Japan will probably see some decreases in March and April due to the virus situation. But the key is just how much of decrease will there be for April, as the situation maybe is not so good now.

Article:

Next week's data also include retail sales, which are expected to fall 1.2% fall in February from a year earlier, following a 0.4% slip in January.

"Retail sales for March will likely drop further not only in the service industry but also consumptions on other goods as the government called for people to refrain from going out to prevent the spread of the coronavirus," said Kenta Maruyama, economist at Mitsubishi UFJ Research and Consulting.

Comments and ideas:

Retail sales, most likely took a major decrease in March and most likely will be the same in April. No country can go on like this. Governments everywhere have got to find a solution for businesses and societies to get back to some kind of normal. Even if there is no true vaccine, societies have got to find a way to maybe exist with the possibility the virus might be here for a while.

Article:

The trade ministry will publish both factory output and retail sales at 8:50 a.m. Japan time on Tuesday, March 31 (2350 GMT Monday).

Analysts also expected the unemployment rate to remain unchanged at 2.4% in February while the jobs-to-applicants ratio would dip to 1.47, slightly down from 1.49 in January.

The sharp slump in domestic and export demand has raised fears that the jobless rate could rise, analysts said.

The jobs figures will be announced at 8:30 a.m. on Tuesday.

Japan's economy shrank an annualised 7.1% in the fourth quarter and the spread of coronavirus raises fears for another contraction in the current quarter.

Japan's government offered its bleakest assessment on the economy in nearly seven years, saying conditions in March were "severe" as the coronavirus pandemic shut down factories and cooled consumption.

Comments and Ideas:

There is a lot of fear out there. But the fear of the unknown or the fear of what to do next might be the biggest fear. Eventually, maybe, someone is going to say enough, we have got to find a way to get this going again. We have got find some solutions instead of just isolation and no economic activity.

Have a nice day and be safe out there!

© 2020, Tom Metts, all rights reserved

Reuters: Hording in Tokyo:

https://www.yahoo.com/news/panic-buying-tokyo-residents-asked-030017194.html

Article:

TOKYO (Reuters) - Residents of the Japanese capital formed long queues at supermarkets and stores on Friday, in preparation for a weekend at home, after Tokyo's governor urged them to stay indoors in a bid to keep a coronavirus from spreading.

The governor's plea to avoid non-essential, non-urgent outings until April 12, and particularly this weekend, prompted a rush for supplies of everything from instant noodles to toiletries and fresh produce, despite warnings against hoarding.

Comments and Ideas:

So it looks like "hording" or "panic buying" has finally reached Japan or Tokyo, as its been quite common in other parts of the world. Of course there were reports of hording or panic buying of masks and toilet tissue before but not other items.

What is the reason for "hording"? Consumers, people, see pictures all over the news of hording around the world and then  they begin to panic and get worried too. But again why the hording?

I can't say there is enough supply of whatever, when we all see pictures of empty supermarket shelves etc. in stores. Or the picture of people in supermarkets breaking down crying when they see empty shelves of food they think they need, especially the elderly woman in Australia who stood there crying looking at an empty supermarket shelf. Very heartbreaking, if you have a heart towards people.

So again why? I guess the only reasonable answer is fear. We as consumers, people, are afraid of whatever and we panic and have no choice but to horde because we don't know what the future is.

Article:

"If convenience stores and supermarkets stay open, people will stay calm," said Yuri Inoue, a 31-year-old graphic designer, who admitted to being a "panic buyer".

"The government should emphasize that point more strongly," she told Reuters, adding that had stored two weeks of supplies to allay the concerns of her parents.

Tokyo governor Yuriko Koike appealed for calm, while repeating her request to avoid public gatherings at the weekend.

"But I am saying you can go to supermarkets to buy food or medicines or go to hospitals," she told a city government meeting.

"I would like to ask Tokyo citizens for calm behaviour."

Comments and Ideas:

Yes, stay calm, but as we have seen, people, consumers, are not calm or rational now. They, we, are all in a panic mode. Yes we can be positive and say the stores are selling a lot of items. But how long will that last.

A few days of panic buying and then the rest of the week no buying or less buying, or less consumers out there buying.

People panic because they see other people out there panicking.

To be honest, here in South Korea, there has been no panic buying of food or tissue etc. The only panic buying has been masks, which the government has clamped down on with mandatory buying days and limitations of the number than can be bought There is plenty of everything at the supermarkets here. But people are people, you never know, it could easily start in SK too. Who knows? No one place is immune to fear.

Article:

A surge in infections this week, with 40 new cases on Friday, has carried Tokyo's tally to 299.

While the figure is not high for a city of nearly 14 million, experts have warned of a high risk of an "overshoot", or explosive rise, since authorities have not been able to track all the contacts of more than half the newest cases.

Tokyo has also urged people not to congregate in parks for the famed traditional viewing of springtime cherry blossoms, and plans to shut zoos and aquariums for two weeks.

Koike asked people to wait until next year to glimpse the flowers, adding, "The cherry blossoms will bloom again next year."

Parts of three of the city's parks will be closed to the public until after the flower-viewing season, a Tokyo government official told Reuters, without specifying the dates.

Comments and Ideas:

South Korea has over 9,000 cases now but there is no panicking. Yes Seoul is beginning to see more but with many more recoveries than cases now. And yes the government has now put in place a two week mandatory self-isolation, Korean or foreigner, for those coming into the country. But there has only been suggestions or recommendations of citizen's self isolation.

Yes no matter what the number, the increase in cases is not good, not to downplay the low number in Tokyo. Korea too has closed parks etc, just to be safe etc. as people are people and they want to get out and see the cherry blossom in Korea too.

People need to be disciplined, in Korea and Japan, and try to not cause problems before both countries put limits on movements like in Spain and Italy.

Article:

Retail giants Takashimaya <8233.T> and Matsuya <8237.T> said they would shut department stores in the city on the weekend.

The governor of Japan's Osaka prefecture, Hirofumi Yoshimura, asked residents on Friday to refrain from making non-essential outings this weekend, Kyodo news reported, joining Tokyo.

Some 13 regional prefectures, including Miyagi in the north and Shimane to the west, have asked people to refrain from traveling to Tokyo, according to Kyodo.

Japan's virus infections have climbed to more than 1,400, with 47 deaths, excluding those from a cruise ship quarantined last month. Globally, infections have topped half a million, with more than 24,000 deaths.

Prime Minister Shinzo Abe is expected to order the preparation of an economic package with spending of $135 billion or more, government officials and lawmakers say, joining global policymakers in rolling out fiscal stimulus to avert a downturn.

Comments and Ideas:

Self discipline and not going to places with large crowds seems very reasonable for the situation for now. The Japanese government, maybe like the US government, or many governments is probably going to have to make record level stimulus programs and maybe more than once or even twice or the next year.

Article:

Japan does not yet require declaration of a state of emergency, however, Abe said on Friday, but if announced, media said, it could prompt a 21-day lockdown of regions with numerous infections.

During the morning rush hour, some subway lines in central Tokyo usually crowded with commuters standing elbow-to-elbow were visibly less crowded, and some even had vacant seats.

A truck driver said he had worked 12- to 13-hour shifts each day for the past month, delivering toilet paper and tissue to drug stores, compared to five-day weeks of 9 to 10 hour shifts before the hoarding began.

"It's been tough," he told Reuters, declining to give his name. "This job involves a lot of lifting, so I don't know how long my body can last at this pace."

Others worried about losing work as economic activity slows.

"If I stay at home, I'll just worry about things: money, the virus, making a living," said taxi driver Takahiko Nihei. "But if I get out and around, I can forget this for a while."

Comments and Ideas:

No state of emergency yet in Japan. If Japan citizens, who usually, are in-tune for the good of society, can maintain discipline and self-isolate or "physical distance" themselves, there might not be a need for a state of emergency like other places in the world.

Again there is no state of emergency in South Korea, yet, but who knows.

Yes, the truck drive and the taxi driver worries are probably the same anywhere in the world now.

Everyone have a nice day and be safe out there!

© 2020, Tom Metts, all rights reserved