On Wed, Feb 4, 2009 at 11:55 AM, Doug Henwood <[email protected]> wrote: > > On Feb 4, 2009, at 2:44 PM, Martin Hart-Landsberg wrote: > >> Regarding the Japanese experience--it is my impression that while the >> growth collapse was contained--average incomes plummeted and never recovered >> and that work became far more insecure with an ever growing percentage of >> irregular work, also more homelessness etc. In other words, that there was a >> qualitative decline in quality of life for the average person. > > You mean that Japan in crisis became more like the U.S. in "normal" times? > > Yes, I think your impression is correct, but considering the magnitude of > the financial bust, that real-world fallout was relatively mild.
Exactly! I agree with Jim that the best-case scenario that is at least a little plausible looks like 1990s Japan. But a decline in living standards from the generally prosperous levels of 1980's Japan does not exactly qualify as Doom. In contrast the Great Depression does qualify as Doom, but since we have Ben "Great Depression scholar" Bernanke running the Fed, we will definitely avoid that particular form of Doom (deflation) at all costs. So what other forms of Doom does that leave? Hyperinflation? Run on the dollar? Hyperstagflation (i.e. high unemployment + high inflation)? What about the rest of the world? Is China headed for war? -raghu. -- The meek shall inherit the earth, if that's OK with you. _______________________________________________ pen-l mailing list [email protected] https://lists.csuchico.edu/mailman/listinfo/pen-l
