Capitol Hill Blue Forums Political Issues Finance, the economy & Economics How will the financial crisis develop?

The Alchemy of Finance is one of the greatest financial books ever written. In this 1988 classic, George Soros developed his thesis of how finance and the markets operate and then tested his analytical framework in real life market circumstances....
...last week appeared to provide another critical global crisis inflection point. In particular, escalating market tumult and contagion effects afflicted the "developing" currencies and bond markets. To that point, they'd been fairly resilient. Yet global de-risking/de-leveraging dynamics seemed to lurch forward - and ever closer to the point of turning uncontrollable....
The consensus view holds that the developing economies and credit systems are robust and, as such, will prove resilient in the face of developed-world structural financial and economic woes. I fear that the "developing" systems have themselves become acutely vulnerable to the downside of bubble dynamics.