Japan was almost completely lacking in U.S.-style self-correcting mechanisms--namely, thevultureinvestors, hedge funds, buyout giants and others who wait decades for a chance like this to pounce on distressed assets and help the entire system snap back.
The biggest challenge will be to crack the pricing puzzle and get impaired loans moving in a way that works for banks, vulture-investors and the taxpayer.
The government has condemned the outstanding creditors as "vulture funds" - a term for investors that buy sovereign debt at a discount and sue to recover its full value.