In September, 2003, Krugman published a collection of his columns under the title, The Great Unraveling. Taken as a whole, it was a scathing attack on the George W. Bush administration's economic and foreign policies. His main argument was that the large deficits generated by the Bush administration — generated by decreasing taxes, increasing public spending, and fighting the Iraq war — were in the long run unsustainable, and would eventually generate a major economic crisis. The book was a best-seller. --Wikipedia: "Paul Krugman"
Robert Schiller: Irrational Exuberance (2000)
Paul Krugman: How Did Economists Get It So Wrong? [NYTimes 090902
Excerpt: I have no sympathy for Madoff. But the fact is, his alleged Ponzi scheme was only slightly more outrageous than the “legal” scheme that Wall Street was running, fueled by cheap credit, low standards and high greed. What do you call giving a worker who makes only $14,000 a year a nothing-down and nothing-to-pay-for-two-years mortgage to buy a $750,000 home, and then bundling that mortgage with 100 others into bonds — which Moody’s or Standard & Poors rate AAA — and then selling them to banks and pension funds the world over? That is what our financial industry was doing. If that isn’t a pyramid scheme, what is? --Thomas Friedman: "The Great Unraveling", New York Time, Dec. 16, 2008
Thomas Friedman: The Inflection Is Near? [NYTimes 090307
The folks who keep the profits and give us the risk are winning a battle against reform.