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Clarmond Bank: Central Banks Will Unleash an Orgy of Blood [pdf]

1 pointsby randomname2over 7 years ago

1 comment

wahernover 7 years ago
<p><pre><code> He placated the nationalists by championing massive deficit financing, via the BOJ, to pull Japan out of its economic morass. Japan&#x27;s economy soon embarked on a period of economic growth with stable prices, full employment and humming factories, an &quot;economic nirvana.&quot; Seven decades later these results were heralded a success by another central banker trying a similar trick - Ben Bernanke. </code></pre> The cynicism and skepticism feels very contrived here. Seven decades of nirvana is better than the three decades of comparable nirvana American policies achieved between 1950 and 1980, and few economists criticize post-WWII-era American economic policy as being short-sighted or a one-way trip toward a dystopian future.<p>And of course, despite Japan&#x27;s financial malaise, their quality of life is arguably on-the-whole better than in the U.S. It&#x27;s hard to make direct comparisons of outcomes--let alone comparisons regarding policy efficacy--but I think it suffices to point out that Japan is hardly a failing system. In fact, some would argue that it&#x27;s an outright myth, a failure to reframe expectations in the context of an advanced economy. <a href="https:&#x2F;&#x2F;www.forbes.com&#x2F;sites&#x2F;eamonnfingleton&#x2F;2013&#x2F;02&#x2F;06&#x2F;paul-krugman-says-it-again-japans-stagnation-is-a-myth" rel="nofollow">https:&#x2F;&#x2F;www.forbes.com&#x2F;sites&#x2F;eamonnfingleton&#x2F;2013&#x2F;02&#x2F;06&#x2F;paul...</a>