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.

Light Bulb Factory Closes; End of Era for US Means More Jobs Overseas

The path from invention to product and jobs is rough and long in a globalized world
Peter Whoriskey
September 10, 2010

Illegal Immigration to US Slows Sharply

Lack of jobs cuts border crossings by more than half
Miriam Jordan
September 8, 2010

Silicon Valley Expats Spur Innovation in India

A new diaspora of tech workers takes off in search of opportunity
Sean Randolph
September 2, 2010

Banks Back Switch to Renminbi for Trade

The renminbi rush plays to China’s desire for global status
Robert Cookson
September 1, 2010

Western Profits Wilt on China's Surging Wages

Big corporations, hungry for profits, hunt for cheap workers elsewhere
Ambrose Evans-Pritchard
August 31, 2010

A Cash-Strapped US Faces Diminished Political Clout

The US can no longer afford grand foreign-policy initiatives
Michael Mandelbaum
August 31, 2010

Joys and Pains of a Global Paradigm Shift

Developing nations race to fill slack in global economy
Michael Casey
August 27, 2010