11 May
U.S. risks “lost decade” due to half-steps: Krugman
The United States risks a Japan-style lost decade of growth if it does not take aggressive action to stimulate its economy and clean up its banking system, Nobel Prize-winning economist Paul Krugman said on Monday.
“We’re doing half-measures that help the economy limp along without fully recovering, and we’re having measures that help the banks survive without really thriving,” Krugman said.
“We’re doing what the Japanese did in the nineties,” he told a small group of reporters during a visit to Beijing.
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