Can the World Survive Another Crisis?

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

In The Media

Can the World Survive Another Crisis?

A series of crises in advanced countries—from the financial collapse two years ago to the devastating earthquake in Japan to a surge in oil prices—has greatly diminished their ability to deal with the next economic shock.

By Uri Dadush

Published on Apr 6, 2011

Source: China Radio International

Following the massive financial crisis two years ago, advanced countries have been hit by a new series of shocks, explained Uri Dadush on China Radio International. Europe is struggling with a sovereign debt crisis. Japan—which has the highest government debt in the world—now must overcome a devastating earthquake and tsunami. Political turmoil is spreading across the Middle East and oil and food prices are continuing to rise.

However, the ability of advanced countries to deal with these problems has diminished, Dadush said. The rise in government deficits and debts has greatly reduced advanced economies’ room for maneuvering. With populations aging across these countries, Dadush warned that major political adjustments will be needed, not only to help major economies withstand the next shock, but also to keep budget deficits and debts from spinning out of control.

About the Author

Uri Dadush

Former Senior Associate, International Economics Program

Dadush was a senior associate at the Carnegie Endowment for International Peace. He focuses on trends in the global economy and is currently tracking developments in the eurozone crisis.

Recent Work

Commentary
The Labors of Tsipras
- Uri Dadush
In The Media
Greece, Complacency, and the Euro
- Uri Dadush

Economy North America

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.

More Work from Carnegie Endowment for International Peace

Paper
The AI Labor Debate: Three Views on the Future of Work
AI could hollow out jobs, reshape them gradually, create entirely new ones—or do all three at once. The case for starting to act now doesn’t depend on knowing which.
Teddy Tawil
Commentary
Carnegie Politika
Russia’s Coal Industry Is Running on Borrowed Time
Powerful lobbyists and inertia led to Russia’s coal-mining sector missing an excellent opportunity to solve its structural problems.
Alexey Gusev
Commentary
Emissary
The U.S. Export-Import Bank Was Built for a Different Era. Here's How to Fix It.
Five problems—and solutions—to make it actually work as a tool of great power competition.
Afreen Akhter
Collection
The Iran War’s Global Reach
As the war between the United States, Israel, and Iran continues, Carnegie scholars contribute cutting-edge analysis on the events of the war and their wide-reaching implications. From the impact on Iran and its immediate neighbors to the responses from Gulf states to fuel and fertilizer shortages caused by the effective shutdown of the Strait of Hormuz, the war is reshaping Middle East alliances and creating shockwaves around the world. Carnegie experts analyze it all.
Commentary
Southeast Asia’s Agency Amid the New Oil Crisis
There is no better time for the countries of Southeast Asia to reconsider their energy security than during this latest crisis.
Gita Wirjawan

More Work from Carnegie Endowment for International Peace

Humanoid robots follow technicians to learn job skills at the data collection area of an embodied AI robot innovation center on September 14, 2025 in Shaoxing, Zhejiang Province of China.

Paper

The AI Labor Debate: Three Views on the Future of Work

AI could hollow out jobs, reshape them gradually, create entirely new ones—or do all three at once. The case for starting to act now doesn’t depend on knowing which.

Teddy Tawil

Commentary

Carnegie Politika

Russia’s Coal Industry Is Running on Borrowed Time

Powerful lobbyists and inertia led to Russia’s coal-mining sector missing an excellent opportunity to solve its structural problems.

Alexey Gusev

Commentary

Emissary

The U.S. Export-Import Bank Was Built for a Different Era. Here's How to Fix It.

Five problems—and solutions—to make it actually work as a tool of great power competition.

Afreen Akhter

Collection

The Iran War’s Global Reach

As the war between the United States, Israel, and Iran continues, Carnegie scholars contribute cutting-edge analysis on the events of the war and their wide-reaching implications. From the impact on Iran and its immediate neighbors to the responses from Gulf states to fuel and fertilizer shortages caused by the effective shutdown of the Strait of Hormuz, the war is reshaping Middle East alliances and creating shockwaves around the world. Carnegie experts analyze it all.

Commentary

Southeast Asia’s Agency Amid the New Oil Crisis

There is no better time for the countries of Southeast Asia to reconsider their energy security than during this latest crisis.

Gita Wirjawan