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The Korea Asset Management Corporation, a public fund, bought about two-thirds of the problem loans on the banks' books, freeing up capital to restart a virtuous cycle of lending.
Instead consumers continued to limit their spending and banks have not resumed lending as much as they did before the financial crisis, causing the cycle of lending and spending that keeps the economy going to remain stifled.
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But Mr Brown's American counterpart, John Snow, sees debt relief as the last turn in a long-running "cycle of lend and forgive".
A new revelation of lending fraud?
As for interest rates, they are already low enough to coax another cycle of imprudent lending and borrowing.
Allowing private companies to absorb the state's excess workers is an obvious way to improve the Chinese economy, locked in a cycle of bank lending to the money-losing state-owned enterprises that sustain those workers.
After 12 months of operation, the group distributes all its money and decides whether to start another cycle of saving and lending.
Of course, the cycle paths lend themselves to sauntering along in summer dresses in a way a death-defying, white-knuckle ride in rush-hour traffic does not.
Every orchestra in America is doing a Beethoven, Brahms, or Mahler cycle, trying to lend a patina of novelty to the proceedings by pairing the symphonies with new works or presenting them in different performance styles.
This type of diagram is most often used for refrigeration and air conditioning cycles, but lends itself very well to geothermal binary cycles.
Though the vicious cycle of layoffs and reductions in lending has ended, it could resume again if the crisis in Europe spirals out of control with a default by the Italian government, said Stijn van Nieuwerburgh, associate finance professor at New York University's Stern School of Business.
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