Who knows when this financial turmoil will pass?

Nobel Laureate in Economics: The Worst Period of the Economy Has Ended -- Edward Prescott, winner of the 2004 Nobel Prize in Economics, said at the "2008 Investment Forum" the day before yesterday that the worst period of the world economy has ended, and the current valuation of the United States has been somewhat low, and he believes that the current economic system of the United States is still running "well". Edward Prescott said that there are always times when the economy expands and contracts, and the contraction should not be called a recession, and the current ratio of the growth rate of income of American residents to the growth rate of GDP is still relatively high, and he believes that "the economy has indeed shrunk a little, but it should not be said to be a recession."

Edward Prescott argues that "the U.S. economy is actually still very good and will continue to do well." He said that the U.S. economic system is at a historically good level, and the worst period of the current world economy has ended, "The U.S. ** valuation is somewhat low, and investors may soon see **appeared**." In response to the issue of subprime mortgages, Edward Prescott said that there should be an effective regulatory system to regulate the investment behavior of American investors and the American financial system.

Talking about China's economic development, he said that China's economic development has the advantage of being a latecomer, and the fact that China has developed in recent years has also proved its potential to the world. — The U.S.** rose by 14% last week (from Monday to Friday). In addition, the US dollar has been strong lately.

On October 28, the U.S. dollar index soared to the top five in the list of gainers in the nearly 502 months since 1967, compared with the appreciation on September 15. The latest data from BIS also shows that the nominal effective exchange rate of the US dollar in September was points, which appreciated from the point at the end of the second quarter, which ranked sixth in the nearly 179 quarters since 1964, and the real effective exchange rate of the US dollar was points, which appreciated from the point at the end of the second quarter, which also ranked sixth in the last 179 quarters since 1964. The subprime mortgage crisis, far from ending the hegemony of the US dollar, has even pushed the US dollar to an unprecedented peak. Oh.

The financial turmoil erupted in 1997.

On July 2, 1997, the Asian financial crisis swept through Thailand. Soon, the storm spread to Malaysia, Singapore, Japan, South Korea, China and other places. The currencies of Thailand, Indonesia, South Korea and other countries have depreciated sharply, and at the same time, most of the major Asian countries have been greatly affected, impacting foreign trade enterprises in Asian countries, causing the collapse of many large enterprises in Asia, unemployment of workers, and social and economic depression.

It shattered the scene of rapid economic development in Asia.

The economies of some major Asian economies have begun to slump, and the political situation in some countries has also begun to be chaotic. Thailand, Indonesia and South Korea were among the countries hardest hit by the financial turmoil. Singapore, Malaysia, the Philippines and Hong Kong were also affected, while Chinese mainland and Taiwan were almost unaffected.

World Impact

The impact of the current financial crisis is extremely far-reaching, and it has exposed some deep-seated problems behind the rapid economic development of some Asian countries. In this sense, it is not only a bad thing, but also a good thing, which provides an opportunity for developing countries in Asia to deepen reform, adjust and reorganize the industrial structure, and improve macroeconomic management.

Due to the arduous task of remaking and readjusting, it will take some time for the economies of these countries to fully recover. However, the basic factors for the economic growth of the developing countries in Asia still exist, and there is great hope for the improvement and further development of the economic situation in Asia after overcoming internal and external difficulties.