Posts by Satyajit Das

Shocks like falling home prices intensify as they move through the convoluted chains of dealings that now link world markets.

The stock-market crashes around the world are not symptoms of the disease but the cure. The “disease” is the excessive debt and leverage in the global financial system — especially in the United States, Britain, Spain and Australia. The “cure” is the reduction of the level of debt.

Part 2: The U.S. Treasury has been able to print dollars to service its own debt, but with the rise of the euro and yen, this may change.

Part 1: Foreign investors grow ever more nervous as the dollar drops relative to other currencies.