USA Follows Japan in Exactly the Wrong Way. Simon Constable anticipates the Japanese Prime Minister Tar Aso recommending the Japanese n on-recovery plan at the G20:
Taro Aso has dismissed Angela Merkel's warnings about the risks of excessive public spending in the global downturn, saying Germany has failed to understand why strong fiscal action is vital for recovery....
Ms Merkel, German chancellor, said last week that spending more public money as part of a co-ordinated stimulus risked creating an unsustainable recovery.
However, Mr Aso said that what his country went through after its asset price bubble burst in the early 1990s made clear that fiscal stimulus played a critical role in restoring growth....
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