Bill Emmott, editor of The Economist, is someone you want to listen to carefully whenever he opines, and especially when the topic is Japan. He recently did an interview with a Yomiuri Shimbun correspondent in a two part article just published today.
Although the interview may be lengthy reading for some, I think readers of this blog will find it worthwhile to spend a few minutes going through Emmott's four key elements behind the livedoor Co. scandal. He paints a very clear picture of what transpired and what effect, if any, it will have on the overall economy and its recovery. I agree with his arguments, and at least at this point the stock market has overcome the so-called "Livedoor Shock" with the Nikkei 225 Stock Average up in 7 of the last 8 trading days closing today at a new 52-wk high. Links to the two part Emmott interview follow.
If you are interested in reading more about livedoor Co., Horiemon, or the scandal, click here for a link to related posts on this blog.
Nikkei 225 Stock Average 1-yr chart: