“There will be blood” — Niall Ferguson, speaks in Ottawa.
Ferguson observes that much of US consumption — indeed much of the Obama administration’s deficit — will be financed from overseas. And why do foreigners lend America money? Because crisis isn’t American. It’s global. And despite it’s weaknesses, the United States, was due its institutional strengths, the best bet in a storm. That combination of characteristics made it a safe(r) haven in the the coming upheavals. As Ferguson puts it, the current crisis “hits others harder than the United States”.
However this is exactly the reverse of the tale which is currently being peddled by some liberal ideologues.
It is not a “crisis of globalization” that we are experiencing; but a Bush-Halliburton-Cheney depression.
It is supremely ironical that the response of some liberal ideologues is to simply to take the axe to what others regard as the safest tree in the forest.
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