The name of the article is "Revenge of the Glut" written by the Op-Ed Columnist Paul Krugman.
The writer makes the case that the current woes of the country (and the world for that matter) is a case of "the revenge of the glut".
Basically, after the Asian financial crisis of (1997-98), those countries began to export capiatl to the rest of the world. The writer goes on to relate how most of that moneyt whent to the United States, thereby leading to our trade deficit.
Relating as to why tghe global savings ended up in the Unites States, the writer says this:
"Mr. Bernanke cited “the depth and sophistication of the country’s financial markets (which, among other things, have allowed households easy access to housing wealth).” Depth, yes. But sophistication? Well, you could say that American bankers, empowered by a quarter-century of deregulatory zeal, led the world in finding sophisticated ways to enrich themselves by hiding risk and fooling investors."
The writer relates how nothing lasts forever and that "yesterday’s miracle economies have become today’s basket cases". He also includes Europe in the equation and relates how their economy is also declining due to a lack of exports.
The writer makes a solid argument as to the cause of the economic crisis, and even reminisces on the old days a bit.
