Recent events in Mumbai serve as a reminder, lest there was any doubt at this point, how fragile the world economy has become. The virtual center of globalization, Mumbai serves as call-center central for many of the world’s large companies. If stock traders are paying attention, I wouldn’t be surprised to see the major stock indices shed a quarter of their so-called “value” this week.
As I indicated in my previous post, we’ve reached the end of economic growth. I pointed to the Financial Times article that leaked the results of the International Energy Agency’s long-awaited study of the depletion rates of the world’s 400 largest oil fields. The bottom line: “Without extra investment to raise production, the natural annual rate of output decline is 9.1 per cent.”
Change has arrived. After all the hate-filled, mudslinging nastiness, after soaring rhetoric and hollow promises, after lies, rumor, and innuendo, after poor predictions and poorer behavior, change has finally arrived.
The blogosphere is ripe with discussion of this country’s unfolding financial collapse. The collapse of the big banks has begun in earnest, and there’s nothing you, me, or the federal government can do about it. Over at Clusterfuck Nation, James Howard Kunstler is asking us to place blame squarely on Republican shoulders, asking us to re-brand the Grand Old Party as “the party that wrecked America.” I’ve got no problem blaming BushCo and his Republican predecessors for putting us in these dire straits. But I think there’s plenty of blame to go around.