We are all Keynesians now

[Enrique Diaz-Alvarez]

Doug Henwood wrote:
> 
> It's striking how ineffectual the Japanese ruling class looks in the
> face of this crisis, unable to come up with a program or get the state to
> do its bidding - in contrast with the U.S., where $200 billion (present
> value) can be spent on the S&L bailout with hardly any political debate.
> 
I don't think this is a fair comparison. 200 billion is less than 3% of
US GDP. The Japanese bail out would require on the order of $600
billion, which is more than 25% of Japan's GDP. I don't know if the US
ruling class would have been able to come up with $2-3 trillion at the
drop of hat.

 


> Doug

-- 
Enrique Diaz-Alvarez            Office # (607) 255 5034	
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