The Japanization of the European Union | Mises Wire

Finally, another very clear illustration of the importance of our test can be found in the wild monetary manipulations and injections with which authorities around the world have reacted to the Great Recession of 2008. This reaction reaches its pinnacle in what we will refer to as the “Japanese economic illness” or the “malady of economic Japanization.” What does this syndrome or disease, this “Japanese economic illness,” consist of? We will first take a look at its symptoms and then theoretically analyze them from the perspective of the Austrian School. Then we will consider the extent to which this illness is contagious and a risk exists of transmission to other economic areas, specifically to the European Union. But before we begin to analyze the symptoms of this sickness, let us outline the immediate historical background of the Japanese economy.

via mises.org