Surely the Great Depression could not happen again; our economists and policy makers simply have too many tools in their kit and too much experience applying them. Or could it? First it was Asia, in July 1997, when a series of event led to the collapse of six economies including Japan. Then came the failure of the Russian economy, followed by the Federal Reserve Board's bailout here in the United States of the over-leveraged Long Term Capital Management Corporation. In early 1999 it was Brazil's turn, with its own currency crisis.In the 1930s policy makers realized that they had to limit the free market in order to save it. Today, when governments worldwide have spent decades lifting regulatory restraints on trade within and across their borders, interference in markets is completely out of favor as a policy tool. With his usual creativity and willingness to consider new ideas, Krugman suggests that a variety of capital restraints may well be in order.This book is for anyone with any level of economic background who wishes to understand the stunning events in today's global economy.