Credit Crisis More Damaging Than September 11

{
  "authors": [
    "David Rothkopf"
  ],
  "type": "legacyinthemedia",
  "centerAffiliationAll": "",
  "centers": [
    "Carnegie Endowment for International Peace"
  ],
  "collections": [],
  "englishNewsletterAll": "",
  "nonEnglishNewsletterAll": "",
  "primaryCenter": "Carnegie Endowment for International Peace",
  "programAffiliation": "",
  "programs": [],
  "projects": [],
  "regions": [
    "North America",
    "United States"
  ],
  "topics": [
    "Economy",
    "Trade"
  ]
}

In The Media

Credit Crisis More Damaging Than September 11

While the attacks of September 11, 2001 scarred the U.S. deeply, the current financial crisis may prove to have more lasting ramifications. Historians are more likely to see the economic crisis as a true global watershed: as the era of pure neoliberal economics abruptly ends, the U.S. must now decide whether to embrace a new American capitalism and accept greater government involvement.

By David Rothkopf

Published on Oct 6, 2008

Source: NPR's Talk of the Nation

While the attacks of September 11, 2001 scarred the U.S. deeply, the current financial crisis may prove to have more lasting ramifications than 9/11. As David Rothkopf explains, historians are more likely to see the current economic crisis as a true global watershed, marking the end of a neoliberal era in which politicians were content to “leave it to the markets.” As this era abruptly ends, the government must step in and play a larger role in the next era of economic policy, and we need leaders who can tackle this challenge.

As the country struggles to define a new American capitalism, it must also recognize that the global implications of the crisis are deepening day by day. In searching for solutions, the real problem will be figuring out how to regulate global markets, which are beyond the reach of a single national government. We must “re-think government from the bottom-up” and begin to create effective global mechanisms for governance, in order to avoid further catastrophe and lessen the inequalities created by laissez-faire capitalism.

Click here to listen to the full interview.

About the Author

David Rothkopf

Former Visiting Scholar

David Rothkopf was a visiting scholar at the Carnegie Endowment as well as the former CEO and editor in chief of the FP Group.

Recent Work

In The Media
How Bush, Obama, and Trump Ended Pax Americana
- David Rothkopf
In The Media
A Bigger Clubhouse
- David Rothkopf

Economy Trade North America United States

Carnegie India does not take institutional positions on public policy issues; the views represented herein are those of the author(s) and do not necessarily reflect the views of Carnegie, its staff, or its trustees.

More Work from Carnegie India

Article
What Could a Reciprocal Defense Procurement Agreement Do for U.S.-India Ties?
India and the United States are close to concluding a Reciprocal Defense Procurement Agreement (RDPA) that will allow firms from the two countries to sell to each other’s defense establishments more easily. While this may not remedy the specific grievances both sides may have regarding larger bilateral issues, an RDPA could restore some momentum, following the trade deal announcement.
Konark Bhandari
Commentary
India Signs the Pax Silica—A Counter to Pax Sinica?
On the last day of the India AI Impact Summit, India signed Pax Silica, a U.S.-led declaration seemingly focused on semiconductors. While India’s accession to the same was not entirely unforeseen, becoming a signatory nation this quickly was not on the cards either.
Konark Bhandari
Commentary
The Impact of U.S. Sanctions and Tariffs on India’s Russian Oil Imports
This piece examines India’s response to U.S. sanctions and tariffs, specifically assessing the immediate market consequences, such as alterations in import costs, and the broader strategic implications for India’s energy security and foreign policy orientation.
Vrinda Sahai
Paper
India-China Economic Ties: Determinants and Possibilities
This paper examines the evolution of India-China economic ties from 2005 to 2025. It explores the impact of global events, bilateral political ties, and domestic policies on distinct spheres of the economic relationship.
Santosh Pai
Commentary
NISAR Soars While India-U.S. Tariff Tensions Simmer
On July 30, 2025, the United States announced 25 percent tariffs on Indian goods. While diplomatic tensions simmered on the trade front, a cosmic calm prevailed at the Sriharikota launch range. Officials from NASA and ISRO were preparing to launch an engineering marvel into space—the NASA-ISRO Synthetic Aperture Radar (NISAR), marking a significant milestone in the India-U.S. bilateral partnership.
Tejas Bharadwaj

Credit Crisis More Damaging Than September 11

More Work from Carnegie India

Article

What Could a Reciprocal Defense Procurement Agreement Do for U.S.-India Ties?

India and the United States are close to concluding a Reciprocal Defense Procurement Agreement (RDPA) that will allow firms from the two countries to sell to each other’s defense establishments more easily. While this may not remedy the specific grievances both sides may have regarding larger bilateral issues, an RDPA could restore some momentum, following the trade deal announcement.

Konark Bhandari

Commentary

India Signs the Pax Silica—A Counter to Pax Sinica?

On the last day of the India AI Impact Summit, India signed Pax Silica, a U.S.-led declaration seemingly focused on semiconductors. While India’s accession to the same was not entirely unforeseen, becoming a signatory nation this quickly was not on the cards either.

Konark Bhandari

Commentary

The Impact of U.S. Sanctions and Tariffs on India’s Russian Oil Imports

This piece examines India’s response to U.S. sanctions and tariffs, specifically assessing the immediate market consequences, such as alterations in import costs, and the broader strategic implications for India’s energy security and foreign policy orientation.

Vrinda Sahai

Paper

India-China Economic Ties: Determinants and Possibilities

This paper examines the evolution of India-China economic ties from 2005 to 2025. It explores the impact of global events, bilateral political ties, and domestic policies on distinct spheres of the economic relationship.

Santosh Pai

Commentary

NISAR Soars While India-U.S. Tariff Tensions Simmer

On July 30, 2025, the United States announced 25 percent tariffs on Indian goods. While diplomatic tensions simmered on the trade front, a cosmic calm prevailed at the Sriharikota launch range. Officials from NASA and ISRO were preparing to launch an engineering marvel into space—the NASA-ISRO Synthetic Aperture Radar (NISAR), marking a significant milestone in the India-U.S. bilateral partnership.

Tejas Bharadwaj