>Ed Hyman, Wall Street's favorite economist, has been keeping tabs on
>global stimulus programs. In today's review, he says the latest
>round - over $200 billion from Japan, and a $27 billion fund to buy
>distressed corporate bonds in Korea (the equivalent of about $500
>billion in the U.S., GDP-wise), plus a number of deep central bank
>interest rate cuts - brings the global total from the "massive" to
>the "truly colossal."
It isn't cheap keeping a global ponzi scheme inflated, after most of the mugs have become wary.
Some would say it isn't actually possible, but there have been some successes. Australia's house prices for example have defied the trend to come down to realistic levels. Due to the Government's massive subsidies to first home buyers and relatively low interest rates. A trap for young players everyone suspects, but its working for the moment.
Keeping the bubble inflated seems to be the agreed strategy. I wonder what the long term strategy is?
Bill Bartlett Bracknell Tas