VOX POPULI: Nikkei index soars but real economy still feels sluggish
When watching a Hollywood movie, the first thing you see is the production logo, the “face” of the film production company, so to speak.
The examples that come immediately to mind include the iconic MGM lion, the Universal globe, and the Columbia woman holding a torchlight in her right hand.
This woman once appeared on the cover of Newsweek magazine, clad in kimono. That was back in 1989, when Sony Corp. acquired Columbia Pictures Entertainment Inc.
It was said that the Japanese were buying into “America’s soul.” The Sony-Columbia deal was immediately followed by Mitsubishi Estate’s acquisition of a controlling interest in Rockefeller Group Inc.
Nothing could stop the surge of Japan money. The Nikkei 225 index hit an all-time-high in December of that year.
This record was shattered on Feb. 22. The index closed at 39,098.68, rewriting the record for the first time in 34 years.
“The old record was set in the year I was born,” remarked a young colleague of mine.
I suppose I can say that the Japanese economy has finally come out of the long tunnel and is now basking in the spring sunshine.
But I would also note that in the United States and Germany, stock prices have risen tenfold over the last 34 years, whereas Japan has only regained the high of a long-ago era before the popularization not only of mobile phones but also of even personal computers.
Unlike back in the asset-inflated bubble years, I just don’t feel the economy is booming. Business remains brisk at 100-yen stores for budget-conscious shoppers. And even in Tokyo’s famed Ginza shopping and entertainment district, people start hurrying to train stations when it’s time to catch their last trains, rather than splurge on long taxi rides home.
In other words, consumption is sluggish. The economy has yet to start taking off for real.
This being the case, why don’t I treat myself to one more drink than usual at home, at least for today? It’s all for the good of the Japanese economy, right?
I can’t wait to get home.
--The Asahi Shimbun, Feb. 23
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*Vox Populi, Vox Dei is a popular daily column that takes up a wide range of topics, including culture, arts and social trends and developments. Written by veteran Asahi Shimbun writers, the column provides useful perspectives on and insights into contemporary Japan and its culture.