A poem for The Great Shimomura

There once was a man

Who had a plan

To double the income of Japan

He said: “It’ll just take a decade.”

And, do not be afraid

For there will be no need for aid

No foreigner to be repaid

Militarily the world we assailed

And ultimately failed

Japan’s glory paled

But , when our technology we upgrade

When good things here are made

Again we shall invade

This time, though, we’ll do it through trade

And when the world with our goods is swamped

Our victory will be prompt

” A decade ? ” in disbelief they ask,

“Not possible, for such a task,

requires too much savings.”

Oh, how silly their ravings!

He said: “Yes, a decade, don’t fret!

We’ll do it through debt.”

“But, without savings there can be no loans !”

One of them moans

They look unimpressed

An explanation they request

Their economic understanding was clearly deficient

For his great idea insufficient

In the great man’s eyes, a compassionate look

For their minds , he knew , would be shook

“My words you should heed

For savings there is no need

I know it sounds funny

But we have the power to create money.

To savings you just add new money creation

A simple modification

Of Keynes’ equation.”

“Money is but an accounting entry

Over debts it is a sentry

Today, as before, our banks can make it at will

Just like in the past they made many a bank bill.”

“And, with some careful assessment ,

The Bank of Japan could direct investment.

Yes, our income can double

Without any trouble.”

They could not believe their ears

Did this man have no fears?

“If what you say is true,

It is a situation we must rue.

We need to destroy such power,

Lest it us devour.

Japan needs innovation, Not money creation!

You forget about inflation.

Your plan would ruin our great nation!

But, perhaps you just jest

Or, more likely, you actually need a rest

It seems you have given up on reason

Against Japan your plan would be treason!”

The man looked with dismay

How could his proposal cause such a fray?

But he knew his idea

Was a true panacea

That he had made the greatest advance ever in economic understanding

That savings were not a prerequisite for lending

With knowledge their minds he had to equip

On the truth they had to acquire a grip

“What you do not know

Is what I to you want to show

That if you but credit direct

Where it has a productive effect

There will be more money, yes, but also a bigger product

Against Japan, there would be no misconduct

No inflation would the credit cause …”

(silence)

And then, overwhelming applause!

The great man had revealed them the truth

All economic woes his idea would soothe

Forever more wealth

Resources for good care of health

No unemployment

Just universal enjoyment

An economy not to crises prone

The benefits spread to the Tokyo Consensus Zone

In short, unstoppable progress

And never again any distress

Now if only in the West people got it, if here this idea held sway

Our many problems would also go away

All we would hear would be a resounding “Hurrah!”

If we just accepted the teachings of The Great Shimomura

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This post was written by Anonymous