What Does it All Mean?

By Jared Bernstein | bio

This morning’s papers are filled to the brim with informative reports on yesterday’s sharp drop in financial markets. Krugman explains the fundamentals with characteristic clarity, and both the Post and the Times lead with reports on what’s going on and why.

There is, however, an important economic question I haven’t seen addressed: what’s it all mean for the majority of us who don’t make a living off of the price fluctuations of mortgage backed securities?