Most aren't aware of the situation Japan is in today because of the world we all grew up in, where Japan was at one point nearly the largest economy in the world. Japan has been in between a recession and stagnation for 30 years. Their GDP was higher 31 years ago than it is today. [1] Their GDP/capita is $33,950 with most wages well below that. They hit a record high for average wages in 2022 of ¥311,800 - about $2,1…
What blows my mind is that Japan's GDP per capita (PPP) as reported by World Bank is now lower than 4 formerly comparatively "poor" former Easter Block countries: Czechia, Lithuania, Slovenia, Estonia. And just one place above Poland. https://data.worldbank.org/indicator/NY.GDP.PCAP.PP.CD?most_... WTF happened in Japan? All the above countries have their own demographic collapse as well BTW.
Most of the Soviet Bloc type nations you named had reasonable fertility rates under the USSR, only collapsed once the USSR collapsed in 1991, and are inching back up again. Japan, by contrast, never had a particularly great fertility rate post-war. Then it just collapsed in the 1970s and simply kept going down. [1]
Fertility rates just determine so much. With a good fertility rate companies grow naturally because their market size is constantly naturally increasing. And vice versa for poor fertility rates. It also determines the overall age distribution of a population, such as how in Japan now 10% of the population is over 80. When an ever larger chunk of your population is leaving the labor force with not enough people to replace them, and then an even smaller taxpayer base to provide the social benefits necessary to sustain these people in their elder years - everything just becomes completely unsustainable.
And, again, none of this will ever get better such as, for instance, when the older people start passing en masse. This is because fertility rate determines the ratio of distributions within a population. You can see this quite clearly in this [2] population pyramid. The only solution is for them to suddenly start dramatically increasing their fertility rate.
[1] - https://data.worldbank.org/indicator/SP.DYN.TFRT.IN?location...
[2] - https://en.wikipedia.org/wiki/Demographics_of_Japan#/media/F...