If Japans opposition the Liberal Democratic Party LDP headed by Shinzo Abe wins the December 16 polls, it is widely expected that an era of aggressive monetary easing will be unleashed in the country. But one expert says this will do little to prop up growth in the worlds third largest economy which is reeling under its fifth recession in 15 years.
“I dont think its going to work. QE quantitative easing is good at containing the downside, addressing crisis and disruptive markets, but it definitely doesnt give you traction in regenerating demand in the real economy,” Yale University senior fellow Stephen Roach told CNBC on Friday.
Read the rest of the story: Aggressive Easing Wrong Medicine for Japan: Roach.