Whether we like it or not, we live in a global economy now. A rock tossed into the pond has rippling effects on us in America. Can we all learn from our mistakes?
When trying to assess the global economic outlook, it is well to recall that at least four major economic policy blunders have been made over the past few years. Since it would seem highly unlikely that, over the year ahead, the global economy will succeed in dodging the economic consequences of all four of those policy mistakes. It would also seem to be imprudent for global policymakers to exclude the possibility that the consequences of more than one of these errors will be triggered within the next twelve months. That would all too likely have very untoward consequences for the global economic outlook.