As the housing boom cools off, there will be a shortfall in demand (which will) affect the global economy.

but recently we have seen financial markets sometimes move more like a wrecking ball, knocking over one economy after another.

I think that it will lead to reforms and I am sure that the region will recover because it has tremendous energy,

I expect by '07 there will be a significant decline in U.S. consumer spending, and I don't see what will take its place, because it's so important as the motor of the world economy.

I don't think you will see the Fed jumping to interest rates,

It will require, I think, the release of funds and perhaps even an increased package to bring stability, ... Everything that could have been done wrong has been done wrong.