Kint

How the U.S. Financial Crisis Resembles Japan’s 'Lost Decade' - And How to Play It, Part II

I don't follow.. in the article referenced, it says: 'Japan did nothing. It refused to acknowledge the breadth and depth of its problems' But when talking about the US, it says: 'This time around in the United States, the Fed opted for the "prop it up" pathway instead of the decisive route' I'm not following this at all.. so by propping up Bear Stearns et al, the Fed isn't acting decisively?? Clearly, the Fed is acting decisively, by keeping interest rates low. You may not agree with their methods, but they are acting decisively, unlike Japan, which didn't act decisively. In fact, Japan did nothing. Your article makes no sense. You're suggesting that the US gov. should do nothing, and let the big banks fail, which would, in fact, create a 'lost decade.'