I think one of the important distinctions we need to make in this assignment is the difference between correlation and causation. In order to understand the implications of the current financial crisis, we need to understand which symptoms would have occurred regardless of the US crisis and which are dependent upon it. We need to know about what had been going on before our financial problems and what has been going on since then. In other words, we not only need to have a firm grasp of the causes and consequences of our own recession, but also an equal comprehension of the state of the global economy as a whole and the individual economies of other countries. Also, we should look at the implications on countries that may not have much interaction with the US but may with strong trade partners of the US; a kind of second degree implication. Obviously, we need to also think about what will happen. But I think understanding what has happened so far will be our main source for these predictions.

One thing I am personally interested in is how long will the effects of this crisis last? Is this something that will eventually settle out and go back to the way things were or has this permanently changed our economic system? If so, will it affect purely capitalistic countries in a different way than countries that also practice some socialist policies?

Also, would it be helpful to compare our current economic state to the 1980’s and the 1930’s? And perhaps even comparing our crisis to past crises in other countries? How are we doing in relation to past problems?

I’ve heard it said that this large recession has been caused by what is essentially a buildup of pressure from the lack of large recessions since the 80’s. I’m not sure I agree, but it’s something to look into.

Was this caused by the increase in globalization? Will this help or hurt globalization?

Alright, I’m done ranting.

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