Why did a relatively minor problem in the U.S. subprime mortgage market nearly collapse the entire global financial system?
David Smick says that the Great Credit Crunch of 2007-08 exposed a thicket of hidden problems that now threaten every American.
In The World Is Curved, Smick describes how today's risky environment came to be -- and why the mortgage mess is a symptom of future trouble.
His book picks up where Thomas Friedman's The World Is Flat left off, taking readers from Alan Greenspan's breakfast nook and George Soros's secret strategy sessions to the offices of central bankers, finance ministers, and politicians.
Smick explains today's new world of international money and connects seemingly unrelated topics. He reveals why Tony Soprano matters to China, how Japanese housewives have taken control of their nation's capital flows, and how big money sovereign wealth funds from China, Russia, Saudi Arabia, and Dubai are the new evil we can neither live with nor without.
Smick shows how we can prevent a nightmare scenario that would make recent turbulence in our 401(k)s and home prices look like a garden party- World Affairs Council of Washington, D.C.
David M. Smick
David M. Smick is the Chairman and Chief Executive Officer of Johnson Smick International, Inc., the first firm of its kind to provide strategic informational services on global economic and political/policy changes to the macroeconomic-oriented hedge funds and proprietary trading departments of major financial institutions.
He is the founder, editor and publisher of The International Economy, a quarterly publication geared toward the global policymaking community.
He has also served as an advisor to both Republican and Democratic presidential candidates and has written for The Wall Street Journal and The New York Times. Smick lives with his family in Washington, D.C.
Process by which the experience of everyday life, marked by the diffusion of commodities and ideas, is becoming standardized around the world. Factors that have contributed to globalization include increasingly sophisticated communications and transportation technologies and services, mass migration and the movement of peoples, a level of economic activity that has outgrown national markets through industrial combinations and commercial groupings that cross national frontiers, and international agreements that reduce the cost of doing business in foreign countries. Globalization offers huge potential profits to companies and nations but has been complicated by widely differing expectations, standards of living, cultures and values, and legal systems as well as unexpected global cause-and-effect linkages. See alsofree trade.
The current shifts in our economic situation are not things to be afraid of, but opportunities to change how we have done business in the U.S. The old ways of doing things are over..they will simply not work in this new century. I rather stop being a crybaby over what is happening, and tackle these challenges with fresh ideas and innovation. That attitude will separate with the successful people in this century from others who will be behind everyone else.
I am an entrepreneur, a young professional, a minority, and very excited about this new century and the new government in the U.S. Your issue is that you are not thinking innovative, nor see the massive opportunities in this current global economy. If you rely on solely the U.S. government and trust just in the opportunities offered within our own backyard to help you, then you are going to be buried in this new century. The people who are going to make it in this new economy and century, are the one's who have the intelligence to be a parallel power to the U.S. government, look within and outside our borders for opportunities, use the internet and the new technology to get educated, form partnerships with people around the world, and stop being a crybaby over our current challenges. This economic situation did not just start today, it has been going on for years, but finally came to a turning point prior to the Obama presidency..now we have to clean it up, and toughen up. You have no idea the freedoms you still have in this country, as compared to many around the world. I have friends and families who are serving overseas in the current war, and you have no earthly idea what you have the freedom to do as a U.S. citizen in your own cozy bed, your own house, and have the ability to do something about your situation. Anyone who only sees the negative and think they are powerless are right...they are powerless, people like myself and other innovative young professionals, are the one's who will take away your potential opportunities to make something good happen for the U.S. and around the world. This is the time that we need to work with the government to stop the old ways that we have done things in the U.S (those days are over....) and get some new ideas and new innovation. The naysayers, will simply not make it in this century. I feel sorry for them.
We all know what's happening. The government hates independent people. They want to get rid of the last free people in this country until we all send our money to Washington and Washington divides it up.
Forget about funding innovation. There was a time an independent person could save enough to fund their ideas. Good luck with that. Higher taxes in the future? Check.
Devaluing the dollar? Check.
More bureaucracy? Check.
Entrepreneurship... forget it. Not worth my time. Just join the cog and mozy along. I'm not working hard anymore.
I find it hard to believe no one has felt compelled to comment on David Smick's presentation. He should be offered a place at the table presenting his perspectives to the Finance commitees of the House and Senate. Another presenter should be Niall Ferguson. These men offer what appears to me to be a realiastic global view of the world's financial state.