Following U.S. Federal Reserve Chairman Alan Greenspan's comments suggesting a change in U.S. monetary policy, the surging U.S. stock market has apparently entered an adjustment phase. To prevent the booming U.S. economy from overheating, it is necessary to fine-tune monetary policy.
Aside from that, we need to learn from U.S. economic prosperity. The question is: How have the U.S. government and corporations succeeded in reforming themselves after the criticism of their dismal performance in the 1980s? There are many answers. Some cynical observers may argue that Japan's government policy failures and bank mismanagement have caused a serious domestic supply-demand imbalance, resulting in a massive outflow of funds to the United States. The funds apparently have contributed to the revival of the U.S. economy, driven by financial markets and information technologies.
It behooves us to learn from the successes of U.S. banking and manufacturing industry executives. Ambitious and willing to take risks, they have developed superb corporate strategies and have implemented reforms quickly.