Parallels to U.S. Seen in Japan Visit

Summary


WASHINGTON - Heavy government stimulus spending and near-zero interest rates did little to end a "lost decade" of stagnation and mushrooming debt in Japan. Some economists and lawmakers say the U.S. may wind up following the same trajectory.

Despite early signs of recovery and a strong U.S. stock market rally, fears persist that the failure to generate new jobs or ignite more consumer spending could drag the economy back into recession, or result in a protracted Japan-like period of poor economic and stock-market performance.

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Parallels to U.S. Seen in Japan Visit

Japan is President Barack Obama's first stop on a tour of Asia beginning Friday - and the gloomy world economy will be high on the agenda. Both...

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