Philip Bowring faults "international investment banks" (and I wouldn't disagree) for spreading panic in ROK (and, Vietnam).

Yes, there are problems with household debt - but not with government debt, which is less than 40 percent of GDP. Yes, Korea is facing harder times as export growth slows and commodity prices remain relatively high. Yes, politics has undermined local confidence. Yes, corporate profits could fall and inventories are rising. But relative to almost all other OECD members, Korea is in reasonable shape.

That's four major negatives, and one tepid positive. I'm feeling much more confident now.

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