Decoupling - More a Myth than Reality
Friday October 10, 2008 17:14:00 EDT

(RTTNews) - The financial world is crumbling, with the rug under it being pulled out mercilessly for its own fault. Companies defied the law of gravity and were soaring high, abetted by the excessive bets they took on risky investments. The outcome? Wall Street firms have now become an extinct species and many of the other financial firms have been absorbed into their bigger and more tenacious peers. The development triggered a chain reaction in the financial and credit markets, triggering a contagion effect among the rest of the world markets. The proponents of the decoupling theory who were valiantly proclaiming the liberation of the global economies from the clutches of their bigger brethren-the U.S. may now have to eat their words.

The theory of decoupling suggests th (continued...)