Japan’s Day of Economic Reckoning

Japan’s Day of Economic Reckoning

In “The Sun Also Rises,” Ernest Hemingway famously has one of his characters describe how he went bankrupt. “First gradually, and then suddenly.” Judging by the way Japanese bond prices are now plummeting, the same might be said of Japan, the land of the rising sun. Triggering this rapid move towards an economic crisis has been the United States’ shift towards an aggressive import tariff policy and a reckless budget policy that is raising the pr…

Japan’s Day Of Economic Reckoning

This article was written by Follow Desmond Lachman joined AEI after serving as a managing director and chief emerging market economic strategist at Salomon Smith Barney. He previously served as deputy director in the International Monetary Fund’s (IMF) Policy Development and Review Department and was active in staff formulation of IMF policies. Mr. Lachman has written extensively on the global economic crisis, the U.S. housing market bust, the…