U.S. Financial Crisis and the Global Economy

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In The Media

U.S. Financial Crisis and the Global Economy

Although much of the world is relying on an American economic recovery to fend off a global recession, China has proven that it can support its own growth.

By Dr. Albert Keidel

Published on Sep 25, 2008

Source: The Diane Rehm Show

With the financial crisis engulfing the American economy and, increasingly, the global economy, Albert Keidel joined a panel of experts on the Diane Rehm Show to discuss how the current situation arose and what can be done to move forward. He argued that America's economic woes extend beyond troubled financial instruments, and that $700 billion would not be enough to resuscitate the economy.

Keidel insisted that insolvent banks should be punished to discipline the financial system. He explained that the world is relying on an American recovery, with the exception of China, which has proven to support its own economic growth. Keidel concluded that recent events have their origins in Congressional policy during the 1990s, which "starved" regulatory agencies such as the Securities and Exchange Commission.

Click here to listen to Albert Keidel on the Diane Rehm Show.

About the Author

Dr. Albert Keidel

Former Senior Associate, China Program

Keidel served as acting director and deputy director for the Office of East Asian Nations at the U.S. Department of the Treasury. Before joining Treasury in 2001, he covered economic trends, system reforms, poverty, and country risk as a senior economist in the World Bank office in Beijing.

Recent Work

Article
As China's Exports Drop, Can Domestic Demand Drive Growth?
- Dr. Albert Keidel
Article
China’s Fourth Quarter 2008 Statistical Record
- Dr. Albert Keidel

Economy North America United States China

Carnegie 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.

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