Tuesday, December 1, 2009

Boosting an economy?

"It (Japan) wants to make more money available to encourage banks to increase lending to business and individuals." Uh, duh. This is a classic stimulus move. We hope that increasing the money supply works for Japan's markets...How to decrease deflation with the increased strength of the yen against the weak dollar. Who knows, the authors of this article seem somewhat skeptical against the effectiveness of this announcement, as they consider the effect of government pressure rather than "a real move to support the economy"

http://news.bbc.co.uk/2/hi/business/8387754.stm

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