No matter how many times you save the world, it always manages to get back in jeopardy again! Sometimes I just want it to stay saved, you know? For a little bit. I feel like the maid: “I just cleaned up this mess! Can we keep it clean for, for 10 minutes?! Please?!” – Mr. Incredible from The Incredibles
Not too many years ago, the West was ravaged by a storm of complex financial debacle, it was known as the Sub-Prime crises. The crises brought upon the death of Lehman Brothers, large scale bailouts by the Federal Reserve, unemployment and bear markets. It also was often hailed as the end of Capitalism as we knew it, for the Federal Reserve was bailing out private financial institutions using the tax payers money. It was also the time when I was about to finish my B School studies and was promptly the victim of the recession, I wrote about it here.
Three years on, this is another September of gloom, and this time its bigger and badder than ever. I am no economist, while I can often understand the trail of disasters, I am not able to interpret the complexity or the severity of the crises which is about hit both Europe and US (or has it already hit us, and we are just sitting in denial?).
US with its trillion dollar debt, failed housing revival, and stubborn unemployment is barely growing. On the other end European Union is battling its debt crises with Greece in tatters, and the other members of the PIIGS doing no better. It is only a matter of time, when general constipation of better solutions will fail to avert the crisis which could explode in a few weeks.
While I have been closely tracking the situation as the crises unfolds, it puts me ill at ease when I cannot picture how insulated will I be from this crises. The current world is deeply interlinked, it is chaos theory redefined, the ripple effect is global.
Economic crises often results in political crises, is this the doom of capitalism? Maybe not, maybe what the world needs is a mixture of capitalist and socialist(or state involvement) philosophies being balanced as the situation demands…or maybe it is a cyclic phenomenon between the two extreme concepts
These are turbulent and exciting times for us, and I hope we all survive long enough to tell the stories on the life and times we lived in.