Since the summer of 2008 the world has experienced the greatest destruction of wealth – paper losses measured in the trillions of dollars – in its history. No industry in the world has been left untouched. The financial powerhouses of Bear Stearns and Lehman Brothers have gone bankrupt and mortgage giants Fannie Mae and Freddie Mac had to be bailed out. Attempts by the US government to save industries led to an increased budget deficit, making some experts predict that the global power epicenter might shift away from the US before the crisis ends. On the other hand, it has become clear that Asian countries need to restructure their domestic economies to encourage consumption. They cannot continue to rely on credit-fueled American consumption to promote growth. Consumer confidence remains low with fears of a double-dip or an anemic recovery being voiced daily. Some poor countries, insulated from foreign finance, suffered from reductions in tourism, remittances and foreign aid. What began as a local problem of excess credit in the United States is likely has affected every member of the global community. All crises in the twentieth century have had world-wide consequences but the crisis of 2008 will go down in history as the first full-blown global crisis.

As Africans Surge to Europe’s Door, Spain Locks Down

Barricades, rubber bullets don’t stop the desperate
Suzanne Daley
March 3, 2014

Can Machiavellian Renzi Save Italy?

Youthful, telegenic, populist Matteo Renzi takes on prime minister role in Italy
Joseph LaPalombara
February 25, 2014

Romania: Chinese Are Coming!

In rebuff to EU, Romania sells resources to China for a bit of trade
Raluca Besliu
March 4, 2014

Debt Ceiling Redux?

Global markets would cheer if the US president ignores debt-ceiling law
James Leitner and Ian Shapiro
February 20, 2014

China Moves to End Its Codependency with US

China is striving for new economic balance and self-reliance, and the US should do the same
Stephen S. Roach
February 18, 2014

Cambodia Garment Worker Dreams of Better Future

Workers earn less than $3.50 per day
Kyle James
February 14, 2014

A Wary US Remains Open to Chinese Investments

Chinese investments are on the rise, with approval by US security reviews
Ziad Haider
February 6, 2014