List
There are many similarities between the recessions in Japan and Ireland but can the Irish government learn from the Japanese and avoid a lost decade? Is setting up a new 'clean' bank the answer?

I'm a student of economic history and was recently re-reading Richard Koo, chief economist at Nomura Research Institute's The Holy Grail of Macroeconomics, a study of Japan's lost decade, I was struck by the similarities of Japan to Ireland. Of course the economies are different. Of course Japan had its own currency. Of course Ireland's fiscal and political problems would be there regardless of Ireland's banking disaster.

But still, we have the banking crisis, the asset price collapse, the vast increases in numbers of non-performing loans, the deflation, the deleveraging, the balance sheet problems in banks, businesses, and households, the rush by the private sector to pay down debt, the cosy institutional arrangements between bankers and centres of power, the repeated failed attempts at recapitalisation, and finally, the deep restructuring of the Japanese and Irish banking systems.

There are more similarities than differences in this story.

Read more here.

One Response to “Is Ireland heading for a Japanese lost decade?”

  1. Brian O' Hanlon

    But how leveraged was Japanese society compared to the way the Irish are at the moment. It may even make sense for the Irish to curtail in their spending habits for a while. But with Japan was there really the kind of personal spending boom that happened in Ireland? I mean, outside of property even - just 'stuff' like gear, trappings, hols, good grub.

    No need to reply Stephen, but maybe it is something you might think about in a future blog entry.

  Posts

1 2 3 142
March 24th, 2018

Capital inflows, crisis and recovery in small open economies

Our latest paper, and my first with my Melbourne School of Government affiliation (plus my UL one, of course) is […]

March 7th, 2018

Southern Charm

What's it like working at Australia's number one university, ranked 23rd in the world for social sciences? It's pretty cool, […]

February 7th, 2018

Freedom interview

I did an interview for an app I love using called Freedom. Basically I pay them to block off the […]

December 10th, 2017

Marian Finucane Interview

I did a fairly long interview about the experience of moving to Australia with my family. You can listen here.

November 17th, 2017

Increasing wages for macroeconomic stability

My first piece for the conversation is here. I'm arguing the economy would benefit from wage increases, paid for from […]

November 14th, 2017

Health Workforce Planning Models, Tools and Processes: An Evidence Review

Below is my recorded talk, here are my slides, and the handout for the 4th Global Forum on Human Resources for […]

October 5th, 2017

Aalborg Keynote

My talk from the fourth Nordic Post Keynesian conference is up. The full list of keynotes is here.

October 1st, 2017

AIST Debt and Demography talk

(Apparently Limerick is in the UK now!)

September 7th, 2017

My AIST Keynote: Europe Exposed

In which a camera man faints halfway through--he's OK though, I checked afterwards!

July 22nd, 2017

MacGill Summer School Speech

My speech at the MacGill Summer School is here. Thanks to Joe Muholland for inviting me to speak.

May 25th, 2017

Business Post Articles

All my Sunday Business Post articles (back to 2014/5, when I joined the paper) are available here, behind a paywall, and […]

January 15th, 2017

A month with the MacBook Pro

This is a quick update to the the previous post about getting a new MacBook Pro. So far three things […]

December 23rd, 2016

Some Thoughts on the New MacBook Pro

I’ve been working on Mac laptops since the early 2000s. I typically get a new one every 2-3 years. My […]

December 13th, 2016

Strange days indeed

We’re living through very strange times. Times when it’s a good thing that only 46 per cent of the Austrian […]

November 22nd, 2016

Will robots eat your job? @ryanavent's snapshot of a global economy in flux

Review of 'The Wealth of Humans', By Ryan Avent, Penguin, €19 Will robots eat your job? Will your kids have […]