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

Commentary
Next Steps Toward Peace After the Armenian Elections
It’s time to build momentum, and Ankara is the venue of the next opportune diplomatic window to do this.
Alper Coşkun, Garo Paylan
Commentary
Strategic Europe
European Security Strategy: In Search of a New Ambition
The EU is putting together a new security strategy to meet today’s myriad challenges. But for any proposal to be effective, the union needs to grapple with its identity and ambitions.
Pierre Vimont
Commentary
Emissary
Senegal’s Debt Crisis Has Moved Its Leaders from Partners to Rivals
The impacts of the Faye-Sonko rupture could go well beyond the country’s borders.
Lesley Anne Warner
Commentary
Carnegie Politika
Russia’s Elite Conflict Over Internet Restrictions Does Not Herald Regime Collapse
A much-discussed disagreement over internet restrictions in Russia was never an existential threat for Putin: It was about elite groups protecting their interests.
Alexandra Prokopenko
Commentary
Carnegie Politika
Could Migrants From India and Africa Solve Russia’s Labor Shortage?
The demands of the Kremlin’s war in Ukraine, demographic problems, and public hostility toward Central Asians mean Russia does not have enough workers.
Salavat Abylkalikov

More Work from Carnegie Endowment for International Peace

Pashinyan surrounded by supporters while speaking to reporters

Commentary

Next Steps Toward Peace After the Armenian Elections

It’s time to build momentum, and Ankara is the venue of the next opportune diplomatic window to do this.

Alper Coşkun, Garo Paylan

Commentary

Strategic Europe

European Security Strategy: In Search of a New Ambition

The EU is putting together a new security strategy to meet today’s myriad challenges. But for any proposal to be effective, the union needs to grapple with its identity and ambitions.

Pierre Vimont

Commentary

Emissary

Senegal’s Debt Crisis Has Moved Its Leaders from Partners to Rivals

The impacts of the Faye-Sonko rupture could go well beyond the country’s borders.

Lesley Anne Warner

Commentary

Carnegie Politika

Russia’s Elite Conflict Over Internet Restrictions Does Not Herald Regime Collapse

A much-discussed disagreement over internet restrictions in Russia was never an existential threat for Putin: It was about elite groups protecting their interests.

Alexandra Prokopenko

Commentary

Carnegie Politika

Could Migrants From India and Africa Solve Russia’s Labor Shortage?

The demands of the Kremlin’s war in Ukraine, demographic problems, and public hostility toward Central Asians mean Russia does not have enough workers.

Salavat Abylkalikov