Return of the financial crisis

The international banking crisis has made a comeback with the collapse of the American mortgage bank IndyMac. The daily Die Welt anticipates negative repercussions for the global economy. "It has now become crystal clear that the mantra repeated endlessly - even by bankers - according to which the financial crisis has been overcome was nothing other than the proverbial whistling Dixie. ... The bank has already had to write off around 600 billion euros worldwide. Add to that a few hundred billion more before the crisis is over. In view of these numbers, it seems increasingly unrealistic that Europe will come out of the global financial typhoon unharmed. ... The prospects [are] rather bleak, because the US government can now hardly avoid significantly intensifying its control over the financial sector. But this will markedly dampen international growth, and hence prosperity, for years to come."

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