PRAGOTI

Well before the global financial crisis finally broke in September 2008, most people in developing countries were already reeling under the effects of dramatic volatility in global food and fuel markets. From late 2006, prices of most primary commodities first increased very rapidly, then collapsed even more sharply from their peaks in May-June 2008. This was not due to real economic forces, but rather financial activity, specifically the involvement of investors in index funds,writes Jayati Ghosh.

Pragoti publishes three articles on the financial meltdown of big American financial companies such as the Lehman Brothers and actions by the US Federal Reserve. a) Paul Krugman in the New York Times, b) Joseph Stiglitz in the Guardian, c) William K. Tabb in the Monthly Review apart from attached articles (by Mihir Rakshit and Jan Kregel) on the Sub-Prime crisis the fountain-head for the current meltdown.