consumer electronics, Meta Intelligence

by Miyamoto Yūko [宮本裕子]

Anime (アニメ) director KON Satoshi (今敏) died in 2010 at the age of 46, but his works remain highly influential. His final film Paprika, released 20 years ago, highlights his preoccupations with the divided self and the blurring of the lines between dreams and reality.

Dream Analysis

After starting out as a manga artist in 1985, KON Satoshi [今敏] honed his skills in the anime production teams of OSHII Mamoru [押井守] and ŌTOMO Katsuhiro [大友克洋], and then made his feature-length direction debut with Perfect Blue, which was released in Japan in 1998. His fourth feature, the 2006 Paprika, is an adaptation of the novel of the same name by TSUTSUI Yasutaka [筒井康隆]. Kon was public in his admiration of the book and he is said to have aimed to produce “something like the novel Paprika” in his previous anime. Indeed, Kon’s Paprika adaptation has many factors in common with his earlier works.

KON Satoshi [今敏] in Venice in September 2006, when Paprika was showing in competition at the Venice International Film Festival. (© Reuters)

Tsutsui studied psychology at university, and motifs and ideas from Freudian and Jungian psychoanalysis feature regularly in his novels. Dream analysis plays a central role in the story in Paprika. In psychoanalysis, psychologically repressed material is thought to be banished to the unconscious before emerging in a different form in dreams. Analysis of dreams has been seen as a valuable way of resolving psychological problems by bringing the repressed matter into the open.

Paprika is set in a near-future Japan, where it is possible to monitor other people’s dreams on a screen. The main character is a therapist called Chiba Atsuko, who provides treatment via her alter ego Paprika, a dream detective. The technology is abused, however, forcing people to experience nightmares, and eventually these flood into the real world.

While Kon follows the broad outline of the original work, his adaptation incorporates numerous changes. The biggest of these is the chaotic parade of electronic goods, beckoning cats (“maneki-neko” [招き猫]), Buddhist statues, torii gates [鳥居], and other marching objects. This symbolizes nightmares spilling out of control, but there is nothing like it in Tsutsui’s book. Kon explained that the parade is made up of old-fashioned appliances and forgotten religious and traditional elements.

In Freud’s The Uncanny, he describes the titular subject as something familiar that has been estranged through repression. In the film, the members of the parade have become estranged from the conscious minds of people today, but are resurrected, and symbolize the uncanny nature of nightmares.

Integrating the Self

Alongside its Freudian elements, Kon’s Paprika shows Jungian influences. Carl Jung did not think that it was best to bring repressed aspects of the psyche under control, instead emphasizing the importance of integrating them into the self. This integration process can be seen in several of the characters.

While Konakawa, a character suffering from anxiety issues, searches through his dreams together with Paprika, he realizes that a mysterious person he repeatedly encounters is an old friend with whom he once shared the ambition of becoming a film director. This friend, who died of illness, appears in Konakawa’s dreams as his other self—the one who wanted to be a director. Konakawa overcomes his anxiety by recognizing and reconciliating with the repressed and forgotten self, represented by his old friend.

The division and antagonism between Chiba Atsuko and her alter ego Paprika are similar to those seen between Konakawa and his old friend. In the original book, Paprika was Chiba in disguise as a dream detective, but in Kon’s anime, they are like entirely different characters. In the finale, when dreams are flooding into the real world, they divide completely, existing at the same time in the same space. After this split, Chiba comes together again temporarily with the uninhibited Paprika when she no longer holds back her suppressed love for her colleague Tokita Kōsaku.

Chiba and Paprika do not divide in Tsutsui’s novel, and Konakawa’s old friend does not represent another self. This aspect of the divided self, added by Kon during the adaptation process, can be taken as a Jungian motif.

Books by the late KAWAI Hayao [河合隼雄], renowned as a Jungian psychologist, were widely read in Japan from the 1980s until the 1990s, and Kon was among his readers. He is said to have become an avid reader of the psychologist for a time because he wanted to understand the music and lyrics of HIRASAWA Susumu (平沢進), the former vocalist of the techno-pop band P-Model, who was influenced by Kawai. Hirasawa later created soundtracks for anime by Kon, including Paprika.

Kon also stated that he was influenced by the novels of MURAKAMI Haruki (村上春樹), who himself developed a friendly relationship with Kawai through interviews and other encounters. Kon is said to have claimed that he was the only person who could adapt A Wild Sheep Chase [羊をめぐる冒険] and The Wind-Up Bird Chronicle [ねじまき鳥クロニクル] to anime.

Kon’s Themes

The anime Paprika could be seen as a later stage in the Kawai-led Jungian psychology boom in Japan, as well as a culmination of Kon’s characteristic themes. For example, the following aspects regularly appear in Kon’s work.

First, there is the depiction of another self. These include Chiba and Paprika in Paprika, Chiyoko and the old woman who appears at key moments and symbolizes Chiyoko’s future self in Millennium Actress (2002), and idol-turned-actress Mima and the apparition of her former pop star self in Perfect Blue.

Second, there are departures from heterosexual norms. In Paprika, the title character announces the wedding of Tokita and Chiba, which maintains the existence of this free-spirited “dream detective,” so that the film deviates subtly from the typical closed ending of heterosexual marriage. The ending of Millennium Actress suggests that Chiyoko’s long search for an artist she meets in her youth is her goal in itself, rather than a romantic relationship with him. In Tokyo Godfathers [東京ゴッドファーザーズ] (2003), alongside a caricatured depiction of a transgender character, we see the struggles of heterosexual couples and their families.

The third aspect is how media and technology blur the lines between reality and the unreal world. In Paprika, the DC Mini device erodes the boundary between reality and the dreams it is used to view, while Mima’s double in Perfect Blue appears in mirrors, PC monitors, and internet browsers. In Millennium Actress, Chiyoko’s acting roles are intertwined with her real life. In Kon’s anime series Paranoia Agent [妄想代理人] (2004), rumors transform into reality through the actions of the mass media and the characters, who in themselves are a kind of media commodity.

During a scene in Paprika when Konakawa goes to the movie theater, posters for Kon’s other films are on display. This shot shows Millennium Actress and Perfect Blue. (© 2006 Madhouse/Sony Pictures Entertainment Japan, Inc.)

Robot Adventure?

While there are clearly repeating themes in Kon’s works, Dreaming Machine [夢みる機械], which remains unfinished due to his sudden death from cancer, shows signs of an apparent major change of course. At one point it was announced that another director would complete the movie, but the producer later backtracked, saying that there was no director capable of realizing Kon’s vision.

Based on the remaining materials, this appeared set to be an action-adventure story about robots hunting down precious electricity in a near-future setting when humans are extinct. Paprika was also set in the near future, but Dreaming Machine features more overtly futuristic urban landscapes. The main characters are smaller, cartoonish robots, compared with the relatively tall humans of Kon’s other films. While it seems to have been aiming for a different kind of movie in terms of both content and visuals, was this really going to be a standard adventure story, without any twists?

Kon said that one of his influences was the manga [漫画] creator MOROHOSHI Daijirō (諸星大二郎). In a short 1974 work by Morohoshi, also called “Dreaming Machine” (“Yume miru kikai [夢みる機械]”), robots go about their daily lives in the place of humans, who dream in a form of suspended animation. Kon’s unpublished 1984 manga Toriko covered similar ground. Can it be simple coincidence that his unfinished work has the same title as Morohoshi’s manga?

Beyond what looks on the surface like a robot action adventure, in Dreaming Machine, Kon may have planned to depict a world of cryofrozen, dreaming humans. Or perhaps the robots were intended to be controlled consciously or subconsciously by humans. This is pure speculation, but I cannot help thinking that Kon may have intended to continue his theme of technology blurring the boundaries between dreams, or fantasy, and reality.

Some people may consider it unproductive to imagine what Kon’s works may have been, but this imaginative act helps carry his vision forward. Kon’s direct and indirect influence can be found in films like Darren Aronofsky’s Requiem for a Dream (2000) and Black Swan (2010), Christopher Nolan’s Inception (2010), and Edgar Wright’s Last Night in Soho (2021). While we will never see another KON Satoshi (今敏) film, his vision lives on.

[from the Federal Reserve Bank of San Francisco]

Adam Shapiro, vice president at the Federal Reserve Bank of San Francisco, stated his views on the current economy and the outlook as of January 12, 2023.

While continuing to cool over the last several months, 12-month inflation remains at historically high levels. The headline personal consumption expenditures (PCE) price index rose 5.5% in November 2022 from a year earlier. This marks a decline in inflation to a level last observed in October 2021, but still well above the Fed’s longer-run goal of 2%. A portion of the inflation moderation is attributable to recent declines in energy prices. Core PCE inflation, which removes food and energy prices, has shown less easing.
Owing to fiscal relief efforts and lower household spending over the course of the pandemic, consumers accumulated over $2 trillion dollars in excess savings, based on pre-pandemic trends. Since then, consumers have drawn down over half of this excess savings which has helped support recent growth in personal consumption expenditures. A considerable amount of accumulated savings remains for some consumers to support spending in 2023.
In the wake of the pandemic, consumer spending patterns shifted away from services towards goods. While there appears to be some normalization of spending behavior, this shift has generally persisted. Real goods spending remains significantly above its pre-pandemic trend, driven by strong demand for durables such as furniture, electronics, and recreational goods. Spending on services has shown a resurgence but remains below its pre-pandemic trend.
Supply chain bottlenecks for materials and labor remain a constraint on production, although there are some recent signs of easing. The fraction of manufacturers who reported operating below capacity due to insufficient materials peaked in late 2021 and has moderately declined over the past year. However, the fraction of manufacturers reporting insufficient labor has persisted at high levels.
The labor market remains tight, despite some signs of cooling. The number of available jobs remains well above the number of available workers, although vacancy postings have been trending down in recent months. The tight labor market has put continued upward pressure on wages and labor market turnover.
A decomposition of headline PCE inflation into supply– and demand-driven components shows that both supply and demand factors are responsible for the recent rise in inflation. The surge in inflation in early 2021 was mainly due to an increase in demand-driven factors. Subsequently, supply factors became more prevalent for the remainder of 2021. Supply-driven inflation has moderated significantly over recent months, while demand-driven inflation remains elevated.
The Federal Open Market Committee (FOMC) raised the federal funds rate by 50 basis points at the December meeting to a range of 4.25 to 4.5%. This cycle of continued rate increases since March of last year represents the fastest pace of monetary policy tightening in 40 years. The increase in the federal funds rate has been accompanied by a gradual reduction in the size of the Federal Reserve’s balance sheet.
Economic activity in sectors such as housing, which is sensitive to rising interest rates, has slowed considerably in recent months. Housing starts have fallen steadily over the past year, as have other housing market indicators, such as existing home sales and house prices.
Although the labor market is currently very strong, financial markets are pointing to some downside risks. Namely, the difference between longer- and shorter-term interest rates has turned negative, which historically tends to occur immediately preceding recessions. It remains unclear whether lower longer-term yields are indicative of anticipated slower growth or lower inflation.
Short-term inflation expectations remain elevated relative to their pre-pandemic levels in December 2019. Consumers are expecting prices to rise 5% this year, while professional forecasters are expecting prices to rise 3.5%. Longer-term inflation expectations remain more subdued, indicating that both consumers and professionals believe inflation pressures will eventually dissipate.
Rent inflation is expected to remain high over the next year. The prices for asking rents have grown quite substantially over the last two years. As new leases begin and existing leases are renewed, these higher asking rents will flow into the stock of rental units, putting upward pressure on rent inflation.
We are expecting inflation to moderate over the next few years as monetary policy continues to restrain demand and supply bottlenecks continue to ease. We anticipate that it will take some time for inflation to reach the Fed’s longer-run goal of 2%.