Ominously, Mr Morris sees a closer parallel in the great Japanese asset bubble of the 1980s.

ECONOMIST: The credit crunch

The recession was caused not, as before, by inflation taking off, but by the bursting of an asset-price bubble.

ECONOMIST: The world economy

Last week the government announced measures to cool property prices including higher stamp duties because of concerns that an asset bubble is being created.

BBC: Hong Kong to see higher growth amid signs of recovery

Meanwhile, BoJ officials have long expressed fears that aiming for significantly higher levels of inflation could trigger a bubble in asset prices -- or worse, a collapse in the currency.

CNN: Bank of Japan bows to inflation pressure

Look only at Japan for a painful reminder of the implications of a burst asset-price bubble.

ECONOMIST: From angst to action?

The absence of a prior asset and credit bubble makes the Italian adjustment path much smoother and less disruptive fiscally and financially, in our view.

FORBES: Italy Won't Need To Tap Emergency IMF-EU Funds, S&P Says

"It is a prudent measure in view of the higher asset and commodity prices, to rein in any build up of a bubble in the future, " said Sandeep Bagla of Principal Mutual Fund.

BBC: NEWS | Business | India raises rates on price fears

For Mr Lindsey has made no secret of the fact that he considers the American economy to be suffering from an asset-price bubble.

ECONOMIST: The

That stimulus, mostly in the form of fixed asset investments in infrastructure, followed by low interest rates, fueled a hard asset bubble that the Chinese government has been trying to pop since last year.

FORBES: Barclays Reiterates 'No Hard Landing' Call For China

It was because of conflict between the ministry's financial and fiscal responsibilities (which led to the asset-inflated bubble economy a decade ago and the subsequent banking mess) that administrative reform became popular in the first place.

ECONOMIST: Japan