Regarding Japan, they had two buffers to prevent complete zombification - they started their deflation with about a 15% personal savings rate (which is now around 2% iirc). And they still had trade surpluses with the US and Europe. Both enabled them to avoid the worst of deflation.
The US is starting at negative savings rates and trade deficits, so we have to find our buffer elsewhere. Apparently QE, more stimulus, and screaming at China to let their currency float to even the trade deficit are it.
According to the BEA, the Personal Savings Rate has increased significantly in the last few years and hasn't been negative in at least the last 6 years.
Does that include personal debt, or just the portion of income people put in a savings account? I checked the site, but don't didn't see anything obvious, and don't have time to dig much further.
The US is starting at negative savings rates and trade deficits, so we have to find our buffer elsewhere. Apparently QE, more stimulus, and screaming at China to let their currency float to even the trade deficit are it.