Friday, May 18, 2012
Space Aliens vs. Tsunamis
You might remember what I wrote right about a year ago (or maybe not.) No worries. I'll remind you.
The Title Says It All
"Speaking of which, another idea that I’ve been too chicken to go out on a limb and write about...Japan’s triple disaster (earthquake, tsunami, radiation leaks) may be what winds up turning Japan around. Japan will be forced to spend huge sums on infrastructure -- even if it has to borrow the money. The status quo will change."
For those that forgot the back story, Japan has suffered an economic "lost decade" where they haven't grown -- leading to chronic unemployment and the attendant social problems. Sort of like where we are headed if we don't change and inject the economic stimulus we need to spur growth.
Did you happen see Krugman's blog yesterday? You should.
Spending and Growth
"Wait, what? Japan as star performer? What’s that about?"
You really have to go see the graph .
And in case you don't get the space alien reference.... Watch GPS: Krugman calls for space aliens to fix U.S. economy ...
It looks as if a tsunami will do the job too.
May 18, 2012