Economy - Economics USA

Second Stimulus Needed to Avoid Lost Decade: Krugman

08/10/2009 • CNBC

The world economy needs a second stimulus if it is to avoid the fate of Japan in the 1990s when the country was stuck with years of sluggish growth, Nobel laureate and professor of economics Paul Krugman told CNBC Monday. RELATED LINKS Fed to Keep Rates at Record LowBoE to Warn of Deflation?Unemployment Benefits May Be ExtendedWhy US Job Creation May Be 'Iffy' "The good news is that it does not look like the 2nd great depression. For a few months it did," Krugman said.