1997 Asian Crisis Redux - Thailand Is Imploding

...Thailand's economy developed into an economic bubble fueled by hot money.

...Many economists believe that the Asian crisis was created not by market psychology or technology, but by policies that distorted incentives within the lender–borrower relationship. The resulting large quantities of credit that became available generated a highly leveraged economic climate, and pushed up asset prices to an unsustainable level.

Sound familiar?


Hoosier's note: Clearly, I am not the only one thinking about the 1997 Asian Financial Crisis.

I have written to the Singapore Finance Minister about my fear of a repeat of the 1997 Asian Financial Crisis and I have suggested taking bold steps to cool down our Property Markets.