Amid the panic of the hour, with governments creating, borrowing and spending money like drunken sailors, German Chancellor Angela Merkel has emerged as the conscience of the developed world.
....(S)he is standing like a rock in the tempest, urging people to be prudent.
....Of all the leaders participating in this week's G-20 meeting in London, she is the only one who has reminded us of the origins of the current troubles and why the remedy favored by most governments is dangerous. "It happened because we were living beyond our means. ... After the Asian crisis and after 9/11, governments encouraged risk taking in order to boost growth" by dumping ever-cheaper money into the financial system.
....One would think that Merkel is speaking from the comfort of a country that is being spared much of the punishment that others are receiving. Actually, as the world's No. 1 exporter, Germany's economy is on course to contract by 4.5 percent this year. No economy will be more affected than Germany's, in absolute terms, by the 9 percent drop in international trade forecast by the International Monetary Fund.
This is one tough lady who has her head screwed on the right way. I hope that she voices her opinion in the strongest terms possible.
Hat tip to RealClearPolitics