William Pesek on his book “Japanization: What the world can learn from Japan’s lost decades”
Release Date: 06/04/2020
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info_outlineAs a result of measures taken nearly everywhere to curb the spread of the COVID-19 pandemic, the world is facing a major economic contraction. According to Conference Board estimates, global GDP growth will be -4.8 percent in 2020. To counter the shock, governments are laying down large-scale fiscal programs which will substantially increase public debt. At the same time, central banks are restarting QE programs and, where possible, lowering interest rate. At this stage of the COVID-19 crisis it looks like high debt levels, low interest rates and deflation are here to stay. Is the world economy heading towards a “Japanization” of their economies?