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In early August, American Home Mortgage, a mortgage lender with little subprime exposure, declared bankruptcy, stoking speculation that troubles are bound to spread to securities backed by higher-quality mortgages. It didn't help when lenders Countrywide and Washington Mutual subsequently issued dire warnings about losing liquidity because so few...

Author: /time Magazine | Title: Ground Zero of the Real Estate Bust | 8/16/2007 | See Source »

As a result, China's rulers face a dilemma: the very policies that cater to the urban middle class come at the expense of the rural poor. So far the government is erring on the side of the rich. In March the government pledged to address problems plaguing the country...

Author: /time Magazine | Title: China's Me Generation | 7/26/2007 | See Source »

Given that the current U.S. force has been unable to curb sectarian killings, it's unreasonable to expect that a reduced U.S. troop presence would stop Sunnis and Shi'ites from killing one another. But even with a significantly smaller footprint, the U.S. would retain sufficient firepower on the ground...

Author: /time Magazine | Title: How to Leave Iraq | 7/19/2007 | See Source »

Some corporate deadbeats of a decade ago are back in the market for cash-and investors are happy to stump up, at rock-bottom rates, just as they were before. The risk premium that Asian borrowers have to pay is near historical lows. It's a worrying sign of global...

Author: /time Magazine | Title: Accident Insurance | 7/12/2007 | See Source »

Certainly not with all the trouble Giuliani has been facing in recent days. The same day he lost his South Carolina chairman, Giuliani also saw his most prominent Iowa supporter sidelined, when former Rep. Jim Nussle was summoned to Washington to serve as new head of the Office of Management...

Author: /time Magazine | Title: Will Rudy's Get-Tough Image Backfire? | 6/21/2007 | See Source »

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