chapter  6
12 Pages


The asset bubble in the U.S. stock market did not appear overnight. Indeed, this problem has been building since 1996. However, the deflation risk has escalated much more rapidly. That risk has grown exponentially over the last couple of years due to several events: the Asian economic crisis of late 1997, the Russian debt default of 1998, and most recently the Brazilian currency crisis oflate 1998.