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...they see other weaknesses apart from its dependence on exports to Europe. One of the drivers of growth this decade has been foreign direct investment, but that has dropped by about 40% so far this year. Sabanci Dinçer is right to praise the robustness of the banking sector, but there are some vulnerabilities here, too: several of Turkey's banks have been acquired by foreign companies, including two European banks that have run into financial trouble elsewhere, Fortis and Dexia. Turkey also has a current account deficit that amounts to about 6% of its economy, and a recent...

Author: /time Magazine | Title: Turkey's Wild Ride | 10/22/2008 | See Source »

...will all these layoffs in the financial sector engender a wave of clinical depression? Morgan says it's too soon to tell: it depends on how long people remain unemployed. A full-blown recession lasting three or four years or longer would be cause for concern. Morgan cites increased rates of depression and suicide in British cities that relied on steel and coal manufacturing in the mid-1980s, when factories started shutting down permanently. And the suddenness of the current crash doesn't make things easier. Former Lehman Brothers employees, he says, "have some emotional catching up to do," because...

Author: /time Magazine | Title: A Psychologist Looks at the Bankers' Dilemma | 10/21/2008 | See Source »

...freedom to mix with people from other backgrounds. She's headed off to school, in her red-checkered uniform, with the kids of middle-class Londoners, "people like us." We pay fees, but low ones, so the school tends to attract parents in the media, the public sector and small businesses. Our local state schools were too rough, too crowded or too religious, and the school where we'd sent our elder daughter, Julia, for a couple of years was too expensive and snooty. So Nicola's joining Julia at a school that will give her a good education...

Author: /time Magazine | Title: Stuck in Class | 10/21/2008 | See Source »

...entirely pessimistic. Experts and industry insiders believe that once the storm blows over, demand is bound to rise for the same reasons it did last time - a large, young workforce; gradual but consistent liberalization reforms; and a high rate of consumer and private-sector savings. "The silver lining is that once this phase ends, land and property prices will be corrected to rational levels, speculators will be out, and the sector will have stronger fundamentals," says Shukla. If everyone's prayers go right, the goddess will eventually be propitiated and her blessings will issue forth once more...

Author: /time Magazine | Title: Mirroring the US, India's Real Estate Sector Melts Down | 10/20/2008 | See Source »

...that was before this once-in-a-generation economic crisis hit. Now, with hundreds of billions of dollars in government money being shoveled towards the financial sector, with the economy in free-fall, with once-record oil prices dropping, surely the last thing we can afford is more spending to prop up green dreams...

Author: /time Magazine | Title: Saving the Working Class with Green-Collar Jobs | 10/20/2008 | See Source »

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