Japan is moving to break with the last vestiges of Reaganomics, not that they were ever as foolish about it as the US has been. They never fully embraced "free trade" and now want out of the suicide pact for good. Yukio Hatoyama, who is about to become Japan’s next prime minister condemned "US-led market fundamentalism" and vowed to shield his nation from unrestricted globalisation and move Japan toward a regional currency union.
In an essay published in the Japanese magazine Voice, Mr. Hatoyama wrote that the global economy had "damaged traditional economic activities" while market fundamentalism had destroyed "local communities", citing the decision by Junichiro Koizumi, former prime minister, to privatize Japan's post office.
"Under the principle of fraternity, we will not implement policies that leave economic activities in areas relating to human lives and safety, such as agriculture, the environment and medicine, at the mercy of the tides of globalism," Mr. Hatoyama wrote. He went on to state a need for better welfare, more child support and wealth redistribution. "As a result of the failure of the Iraq war and the financial crisis, the era of the US-led globalism is coming to an end and …we are moving away from a unipolar world led by the US towards an era of multipolarity," he said, adding that fears about China's military rise were a big factor in "accelerating regional integration".
Japan has been moving in this direction for more than ten years since the attempt to rescue their economy in the 90’s by giving truck loads of money to their large banks was a dismal failure. The collapse of the United States into another Great Depression has removed all meaningful opposition to this sea change in Japan. They apparently hope to get out of the water before the US drags them down too.