When we view what is described as "Japans lost decade," it is important to note several things. First Japan's economic malaise has dragged on for far more then ten years. Second while Japan has been experiencing slow growth the world economy has grown rapidly, in effect the world has pulled Japan along. Had we not seen vigorous world economic growth Japans export markets would of suffered greatly, and we must remember, for Japan exports have been their salvation and a bright spot.
It is very important that we recognize that when the markets unraveled in 2008 it was because we had over done things for years, at the time we collapsed like a deck of cards. After trillions of dollars have flooded the economy from central banks, we have bounced back, but this is not sustainable, the trend of downward and slowing growth is again reestablishing itself. Even the better then expected just released job numbers are to few.
America is currently experiencing its slowest post recession job recovery on record, recovery has taken longer and been far less robust following each recession since 1982. Each day the mind boggling government deficit takes a toll on America. Many blame the huge number of manufacturing jobs that have gone overseas. The reality is we are less competitive, our economy has structurally changed. Until we address this issue expect the Great Recession to just keep grinding on.
I cannot help but mention an article I wrote when this all began, A Mess That Is Built To Linger it was posted as an "oldie but goodie" on January 17th,