Sony Chairman Predicts Financial Collapse

“The Japanese economy is on the verge of collapsing,” said Norio Ohga, chairman of electronics giant Sony Corporation, on April 2. He said, “If the economic situation continues to decline, we [Japan] will face a long spiral of deflation. This will no doubt have a damaging effect on the world economy.” This deflationary downward spiral in Japan and its worldwide implications is exactly what the Trumpet has been warning about in many articles in our 1997 and 1998 issues. The nations of the world are facing tremendous financial trouble and Japan is at the very heart of that trouble!

The April 3 Wall Street Journal states, “Japanese [stock market] shares have plunged 5% in the past two days, and 7.5% in the past week …. A weakening Japanese economy and falling Tokyo stocks would trigger round two of the Asian crisis.”

The March 4 International Herald Tribune said economists “warn that Japan, the world’s second-largest economy, is about to enter the worst deflationary period in decades unless the Japanese government takes urgent action. … Deflation is downward momentum in prices, profit and wages. This [Japanese economic condition] is deflation, and it’s something we have not seen in a long time. No major economy has suffered this kind of thing—where you have all three factors dropping at the same time—since the mid 1930s.”

On April 3 a spokeswoman for Mitsubishi Research Institute was quoted on Australian TV news as saying, “Japan is the largest supplier of funds to the rest of the world and most notably to America. The American economy is very much surviving on the strength of funds flowing in from Japan and if that is not forthcoming, obviously, the wonderful new paradigm of the American economy is going to collapse as well.”