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The Great Reset

Sept. 2, 2013, Pradeep Kumar Yadav inspects a the frame of a table fan at his factory in Varanasi, India. Pradeep, owner of a fast-expanding manufacturer of water pumps and electric fans, says he finds stocks confusing and prefers investing in real estate and putting money back into his business. Despite nearly two decades of rapid economic growth, most Indians are risk averse and do not own stocks.

The Great Reset: Five years after the economic collapse


Five years after U.S. investment bank Lehman Brothers collapsed,

triggering a global financial crisis and shattering confidence

worldwide, families in major countries around the world are still

hunkered down, too spooked and distrustful to take chances with their

money.

The implications are huge: Shunning debt and spending less can be good for one family's finances. When hundreds of millions do it together, it can starve the global economy.

Some of the retrenchment is not surprising: High unemployment in many countries means fewer people with paychecks to spend. But even people with good jobs and little fear of losing them remain cautious.


Reporting by the Associated Press.