Economy

Corporate America often relies on commercial paper to keep it going. But many issuers stopped producing these short-term loans when the subprime debaucle settled in.

Northern Rock, one of Britain's biggest mortgage lenders, is now its biggest credit-crunch casualties. Fortunately for them, the Bank of England is coming to the rescue. Stephen Beard reports.

While much of the retail economy is feeling the pinch of subprime, luxury spending seems only to be growing. But Steve Henn reports the high-end market could be skewing retail numbers across the board.

A lot of economists have been notably optimistic about the subprime crisis, saying it wouldn't lead to a recession anytime soon. But a poll out today from Reuters may indicate a change of heart. Alisa Roth reports.

Bank of England governor Mervyn King criticized the British Parliament for the way it's dealt with the credit crunch, saying it could pave the way for a future crisis. Stephen Beard reports.

The greenback fell to an all-time low against the Euro today, mostly on speculation that the Federal Reserve is going to cut interest rates. But those cuts may have to be steeper than anybody expected. Stephen Beard reports.

Along with the speculation about whether the Fed's going to cut interest rates is a related idea that goes along with that -- whether a cut would reward speculators. Commentator David Frum says we shouldn't be too quick to judge.

Not all world markets are suffering from the subprime crisis. According to the Bank for International Settlements, emerging economies like India and Brazil have largely been spared. Alisa Roth reports.

Despite OPEC's decision yesterday to put more oil onto the world market, crude-oil prices are trading at near record levels. Stephen Beard reports OPEC's extra half a million barrels a day still isn't enough to make a difference.

For many Americans, capitalism equals democracy. But in his new book former Labor Secretary Robert Reich questions the appropriateness of that equation. He talked with Kai Ryssdal.