Thursday, April 14, 2011
Surprise, Surprise! In the Face of Disaster Japan's Prime Minister Recommends Spending
The Japanese government is fully committed to Keynesian spending as the antidote to every ill, including the recent natural disaster. Below is an excerpt from Prime Minister Kan's blog, which he sends out periodically and always is interesting reading. "At yesterday's press conference, I called on the public to refrain from a mood of excessive self-restraint while maintaining a spirit of thoughtful compassion towards the disaster-stricken areas. A mood of excessive self-restraint could reduce consumption and dampen the business activity of Japan as a whole. Conversely, purchasing products from disaster-stricken areas and enjoying them would help support the affected areas." So, the Japanese are being told to fiddle while Rome burns. It's the patriotic thing to do.