The grand experiment is failing across the globe. Abe threw the Keynesian Hail Mary pass when he came to power. Now the ball is just bouncing around in the end zone, pathetically.
With Abe in Japan indicating that devaluation is the goal, other world economic powers are starting to twist in their seats. A race to the bottom? Ja.
Japan’s new Prime Minister Shinzo Abe is not messing around. He’s not priming the pump, he wants a gusher caused by massive inflationary pressure. This has always worked well in the past of course. Sure am glad China and Japan keep sparing over those rocks in the South China Sea. Thankfully nobody ever goes to war for economic reasons.
Paul Volcker is a hero to many because he saved the US economy in late 1970s and early 1980s.
Are the Japanese as irrational as they seem?