Japan is the next Greece

[Killiana1a]

routsounmanman said:

"So would a hike in the consumption tax to 10 percent be enough to tackle the problem, or would it just be a first step?"

Am I reading this correctly? Consumption tax is the same as VAT right? We have a VAT of 23% and Japan has less than 10%?!

 

According to Wikipedia (take it for what it is worth), a Value Added Tax (VAT) is "a tax on the estimated market value added to a product or material at each stage of its manufacture or distribution, ultimately passed on to the consumer."

Japan may use different terms and a "consumption tax" may be a VAT, but then again it may just be a higher sales tax. Great question.