“Lost Decade” in Translation:What Japan’s Crisis could Portend about Recovery from the Great Recession
Author/Editor: Murtaza H. Syed, Kiichi Tokuoka, Kenneth Kang
Release Date: © December, 2009
ISBN: 978-1-45187-427-3
Stock #: WPIEA2009282
English
Stock Status: Available
Languages and formats available
| English | French | Spanish | Arabic | Russian | Chinese | Portuguese | |
| Paperback | Yes | ||||||
| Yes |
Description
Is the recovery from the global financial crisis now secured? A strikingly similar crisis that stalled Japan's growth miracle two decades ago could provide some clues. This paper explores the parallels and draws potential implications for the current global outlook and policies. Japan's experiences suggest four broad lessons. First, green shoots do not guarantee a recovery, implying a need to be cautious about the outlook. Second, financial fragilities can leave an economy vulnerable to adverse shocks and should be resolved for a durable recovery. Third, well-calibrated macroeconomic stimulus can facilitate this adjustment, but carries increasing costs. And fourth, while judging the best time to exit from policy support is difficult, clear medium-term plans may help.
Keywords
Lost Decade, Great Recession, Green Shoots, Exit, Banking Crisis, Banking Sector, Central Bank Policy, Economic Recovery, Global Financial Crisis 2008-2009, Liquidity Management, Public Investment
Taxonomy
Demand,
Economic development,
Economic policy,
Economic sectors,
Financial crisis,
Fiscal policy,
International financial system,
Monetary policy,
Private sector
More publications in this series: Working Papers
More publications by: Murtaza H. Syed ; Kiichi Tokuoka ; Kenneth Kang
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