Sunday October 26th The Stock Market

As with most other Canadians, I have felt some angst during the last few weeks with all the ups and downs of the tock market. Most of us can discuss RRSPs and mortgages, and know something of the larger economic issues, but are a bit frightened by volatility of today's market and want to be reassured as to the outcome. One of the ways that you can come to terms with the issues is by learning more about it. Start with the knowledge you have, and look for books, magazines and online articles that will expand your knowledge. There are excellent resources at your library that can increase your knowledge and help you to adjust to the new realities.

How does the U.S. dollar figure in the issues?
Once looked upon as the strongest and most powerful currency in the world, the U.S. currency is under review by the financial world. For a better understanding, Craig Karmin's Biography of the Dollar is a great guide to understanding the way both the U.S. and the world economies work and the U.S. dollar's role in keeping the economic wheels turning. Karmin's best skill is his ability to take issues that would seem complex and opaque and make them transparent and relevant.

What caused the credit crisis?
Financier, George Soros, points out that the accepted paradigm is that all markets tend toward equilibrium and deviations are random, false and misleading. In his book, The New Paradigm for Financial Markets, he explores the implications of how economists perceive the credit crisis and want to resolve it. Interweaving politics with economics, Soros shows the role that greed and power have played in placing us in the current predicament. Both philosophical and practical, Soros, with his unrivaled experience in the financial markets places the current crisis in context with the decades of boom and bust cycles.

Where do environmental issues intersect with the financial issues?
Hot, Flat and Crowded by Thomas L. Friedman explains that "America has a problem and the world has a problem." America's problem is that it has lost its way in recent years partly because of 9/11 and partly because of the bad habits that have built up over the last three decades. The World also has a problem: It is getting hot, flat, and crowded. That is, global warming, the stunning rise of middle classes
all over the world, and rapid population growth have converged in away that could make our planet dangerously unstable. Environmentalism isn't just a survival imperative: it may be the best way to make America richer, more productive and secure.

What has been the role of debt in today's world?
For an interesting and literary take on the issue, pick up Margaret Atwood's Payback: Debt and the Shadows Side of Wealth. Atwood mixes autobiography, literary criticism and anthropology in an examination of debt as a concept deeply rooted in human behaviour. She builds an argument that wryly advances the familiar thesis that what goes around comes around. This is a timely subject during our current period of economic upheaval caused by the collapse of a system of interlocking debts.

Are there new biographies on some of the great financial geniuses?
The Snowball: Warren Buffett and the Business of Life by Alice Schroeder, was published this September. In an authorized biography, Schroeder describes how this frugal, driven billionaire developed his personal philosophy and distinctive business style from his experiences. This book explains how Warren Buffett's principles and ideas enriched the lives of those around him while he created the most interesting American success story of our time. Another great biography is Relentless by and about Ted Rogers. Roger's company owns our country's biggest cable TV and wireless phone companies. His company has 52 AM and FM radio stations, five Citytv stations, several national magazines including Chatelaine and Macleans . His life storycredits his family history and values gained there as central to his success. A story of Main Street and Bay Street, this is a chance to learn more about Canadian entrepreneurship.

Roberta Casella, Librarian at the Brodie Resource Library