Was the whole thing just a dream?
I agree with other posters on this site, when they speak of a lack of tension. There certainly was that, a lack of real tension beyond the first act of the movie. But what amazes me (and at the same time confuses me) about this film is the overall feel of calm and wonder.
The tsunami suggests real danger, and despite everyone's best intentions, it's illogical to assume not everyone would survive it. But in this movie, as much as the first part reacts to the terror of it, the rest of the movie is relaxed with it, accepting it as just another weather event, with no worries or concerns to consider.
There is one scene in this movie that sticks with me, and it's the one where Soske and Ponyo are in their little boat, and they see all of the beautiful sea creatures swimming beneath the boat. Soske calls them out by their scientific names, not by their common ones. And in fact, looking up some of the names, a lot of them (if not all of them) are actually extinct.
The whole movie seems like a dream, somehow, that exists outside of normal time, or something. It would explain everyone's easy reactions to everything, and it would also explain the extinct creatures.
Although... You could also argue that everyone was dead. And that the end of the movie has them all in the afterlife. That would also explain why everyone was so calm, and why a bunch of extinct fish were swimming about.
Tell me what you think.
My thoughts: https://xanderpayne.blogspot.com
My book: https://www.amazon.com/dp/B01G6OI7HG