Comments on Recent Economic Events

Most people have probably been following the news regarding the economic downturn, the tightening credit market, and the $700 billion financial bailout drama…to some degree. And it seems like every single person and their grandmas, no matter how ill-informed they are (not saying that grandmas are ill-informed), have an opinion to offer regarding the entire economic mess that merely piles upon the already-ridiculously-large heap of opinions. It seems like most really have no clue as to what is going on.

I found it especially difficult to develop an objective understanding of the recent economic events with so much white noise interference (e.g. already-ridiculously-large heap of opinions). Besides, these are already some  relatively complex issues as they stand. However, after much browsing and reading, I have found two articles that I think may explain the current crisis in a clear and cohesive way.

   NY Times
    Lessons from a Crisis: When Trust Vanishes, Worry

   Newsweek
    Is This a Replay of 1929?

Of course, people may disagree with the views expressed in these articles. In response, I would say to take the argument up with those authors. I don’t pretend to know enough about the issues at hand to provide a meaningful debate. But do feel free to show me a better article.