The US Stabilization Policy Proposal

As read in In An Uncertain World by Robert Rubin, in the Asia crisis chapter, Larry Summers was there to push stabilization policy. He even flew to Jakarta, talked to Soeharto, and, despite his credential, was left speechless against that old man.

Now, as the US economic crisis seems more and more resemble the Asia crisis ten years ago, I can't help to think why they are not confident to adopt similar policy for fiscal conservatism, more market based reform, and good governance. If it works for us, it likely would work for them, too.

And it did and does work for us.