Sorting out Japan’s financial crisis
Last Updated: 10/31/02
This article reports on the size of the Japanese financial crisis (currently estimated to cost taxpayers 24 percent of GDP) and sketches the likely ingredients of a successful solution. The crux is that Japan’s banks, insurance companies, and government financial agencies all suffer different problems and require different solutions. But all three sectors are connected, and a failure to tackle concurrently the problems of all three promises to doom any reform plan.