Most friends I know find economics, stock markets, banks and loans boring. Perhaps it is boring, but as we now are in a financial situation only comparable to the depression of the 30:s according to many economists, I am monitoring the situation very carefully.

The 30:s and the fall of the wall where great events in that they remapped the world. After the fall of the wall, all of our maps where obsolete. New countries appeared. Cities changed names. Germany had ten hard years absorbing the old easter part. Today we can hardly how it was before the fall.

I think the financial crisis we are currently living through is a similar great moment. We will have to redraw some maps. Maybe not the US continent, but a weak US stirs up conflicts and proxy-conflicts in the world. Take Georgia and Ukraine as an example. Our financial maps will almost certainly be redrawn. The US will not be the consumption engine of the world. China can't be the world factory any more.

I expect the cost of producing in China raise to a level where outsourcing may cost too much compared to its benefits.

We will all learn the benefits of the Toyota Way. Keeping things lean and organize our enterprises to bee cash flow efficient because capital will be very expensive. I repeat that: capital will be very expensive . That means projects requiring a lot of upfront capital will be few and far between. There will be more of gradual development of things. Adaptions of what we have.

Economics might have been boring for the last 30 years, but now that the US have taken on Freddie Mac and Fannie may and Lehman Brothers heading for bankrupcy, economics is far more exciting than most action movies. Monday may be blodbath monday on Wall Street. Who knows how far a liquidation might spread in the world economy.