Oil Prices, Effect in Japan

[TuskCracker]

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With oil at 140.00 dollars (American) a barrell.

Is the Japanese economy just better designed for this issue, with great pulbic transportation (subways, metro, trains, bullet-train) ?

Or it this a large impact, like the United Sates ?

 

[Pachipro]

I believe the Japanese economy is better situated to handle this than the US for many reasons, but the Japanese will also pay a price in higher prices for everyday items as the cost of fuel is passed on to the consumer. However, they will come out of this much better than the US.

Japan has an excellent mass transist system and people do not rely on their vehicles to get them to work unlike the US where most people need a car as there is no mass transit system. For example, I must travel 80 miles round trip to work, 400 miles/week, and I have no mass transit system to rely on. Therefore, I, as well as 90% of the population have to pay the prices of gas regardless of cost and we are at the mercy of oil companies. The cost of travelling back and forth to work for me has more than tripled in the last 5 years from about $15/week to close to $50/week. While I can suck it up, many can't and have forgone discretionary spending to pay for gas and higher consumer prices related to the increase.

I could go on and tell you why there is no mass transportation sytstem in the US and how the oil companies stifled it, but this is not the palce for it yet. Suffice it to say that it was engineered to keep the oil companies in business. Just google Standard Oil, Rockefeller, etc. and you will discover it yourself.

In Japan a car is a luxury, not a necessity as here in the US and you can get virtually anywhere by train and/or bus

 

[Mikawa Ossan]

The average gasoline price in Aichi Prefecture is 181 yen a liter.

That impacts me, especially considering that when I moved to my current home, gasoline cost 89 yen a liter here

As far as the economy at large is concerned, I really don't know too well, but I would imagine that it can't be very "stimulating" to the economy.

 

[Glenski]

Taxi drivers and many locals just sit with their cars idling to enjoy the air conditioning. What a waste of gas.

I am struggling right now with only one car, but as long as the summer weather holds out, I can bike to work and leave the car with my wife, but by winter we'll have to consider buying a second car. This town has little public transportation, which is unusual for Japan. Price of gas has gone up 3 times in the past few months, and it's pretty unreal.

 

[Yan]

Is is easier to handle for Tokyo inhabitants. The public transportation can be used anywhere and whenever you want. You can use the metro, the bus, the taxi or whatever and you pay lower to move in the city for goint to work in the morning, for going back home and for going to see a friend in the city.

 

[Pachipro]

Taxi drivers and many locals just sit with their cars idling to enjoy the air conditioning. What a waste of gas.

Don't 99% of Japanese cabs use LPG. How much is LPG compared to gasoline?

 

[TuskCracker]

In Japan a car is a luxury, not a necessity as here in the US and you can get virtually anywhere by train and/or bus

Says it all (almost all of American a car is a complete % 100 necessity)

 

[Astroboy]

-
With oil at 140.00 dollars (American) a barrell.
Is the Japanese economy just better designed for this issue, with great pulbic transportation (subways, metro, trains, bullet-train) ?
Or it this a large impact, like the United Sates ?

Impact of oil price hikes is much less in Japan, while all the other countries are struggling because Japan is the most energy-efficient country in the world. I personally LOVE further oil price increase coz Japanese economic strength will become more obvious.

Primary energy consumption per unit of GDP

Japan = 1
EU = 1.7
USA = 2.3
South Korea = 3.2
Canada = 3.2
China = 8.7
Russia = 18.0
Source: http://www.eccj.or.jp/databook/2007e/pdf/appendix1.pdf

If oil price become double, Impact on Japan will be double, but USA will be affected 4.6 times. I suggest USA to reconsider Lifestyle.

 

[Mike Cash]

You folks must live in a different Japan than I do.

 

[undrentide]

In Japan, gasoline price has been increasing - it is very bad in a small islands that fuel need to be ferried (which means using transportation that uses fuel), in some places they have to pay JPY208 or even more, according to the recent news I watched on TV.

Many things (including food) are getting more expensive "due to the cost increase for fuel". As Pachipro pointed out earlier "he Japanese will also pay a price in higher prices for everyday items as the cost of fuel is passed on to the consumer."

Even the restaurants I go for lunch, they had to change the prices for some dishes by JPY100.