Diary of a Hedgehog: Biggs on the Markets
Barton Biggs
Wiley, $35.95

In this his fourth and last book, the late, legendary fund manager Barton Biggs offers insights into the innermost workings of the markets—today, and for the years to come. With global experiences and opinionated stances on investing, Diary of a Hedgehog: Biggs on the Markets explores the ongoing downward economic spiral—and where it’s headed—to help readers keep their money safe and secure.

Biggs offers a unique look at the current state of the markets, why they continue to be depressed, and where we can go from here. Diary of a Hedgehog: Biggs on the Markets is a guide to how investors—and the general public—should be handling their finances. He presents new ideas for readers looking to make the most of their money in the face of ongoing market turbulence.

Making the European Monetary Union
Harold James
Harvard University Press, November 2012, $35.00

Europe’s financial crisis cannot be blamed on the euro, contends Harold James in this probing exploration of the whys, whens, whos, and what-ifs of European monetary union. The current crisis goes deeper—to a series of problems that were debated but not resolved at the time of the euro’s invention.

Here is an account that helps readers understand the European monetary crisis in depth by tracing behind-the-scenes negotiations using an array of sources unavailable until now, notably from the European Community’s Committee of Central Bank Governors and the Delors Committee of 1988–89, which set out the plan for how Europe could reach its goal of monetary union. As this foundational study makes clear, it was the constant friction between politicians and technocrats that shaped the euro. And, euro or no euro, this clash will continue into the future.

Paper Promises: Debt, Money, and the New World Order
Philip Coggan
Public Affairs, $26.00

For the past 40 years, Western economies have splurged on debt. Now, as the reality dawns that many debts cannot be repaid, we find ourselves again in crisis. But the oncoming defaults have a time-worn place in our economic history. As with the crises in the 1930s and 1970s, governments will fall, currencies will lose their value, and new systems will emerge. Just as Britain set the terms of the international system in the 19th century and America in the 20th century, a new system will be set by today’s creditors in China and the Middle East.

In Paper Promises, Philip Coggan, columnist for The Economist, helps us to understand the origins of this mess and how it will affect the new global economy by explaining how our attitudes towards debt have changed throughout history and how they may be about to change again.

Financial Turmoil in Europe and the United States: Essays
George Soros
Public Affairs, $23.00

In this collection of essays written since the aftermath of the crash of 2008, Soros addresses the urgent need for the United States to restructure its banking and financial system. He anticipates the globalization of the crisis and, in particular, its perilous second phase in Europe; and finally, he calls for concerted international action.

While charting the journey from the American mortgage crisis to riots in Athens, Soros often reveals an alternate course to that chosen by the U.S. and European governments. Soros was among the first to appreciate the scale of the disruption and that “these are not normal times.” His analysis is cogent and informed by years as a fund manager and supporter of European integration.

The Rise of China vs. the Logic of Strategy
Edward N. Luttwak
Harvard University Press, November 2012, $26.95

As the rest of the world worries about what a future might look like under Chinese supremacy, Edward Luttwak worries about China’s own future prospects. Applying the logic of strategy, Luttwak argues that the most populous nation on Earth—and its second largest economy—may be headed for a fall.

For any country whose rising strength cannot go unnoticed, the universal logic of strategy allows only military or economic growth. But China is pursuing both goals simultaneously. Its military buildup and assertive foreign policy have already stirred up resistance among its neighbours, just three of whom—India, Japan, and Vietnam—together exceed China in population and wealth. Unless China’s leaders check their own ambitions, a host of countries, which are already forming tacit military coalitions, will start to impose economic restrictions as well.

To avoid arousing the world’s enmity further, Luttwak advises that Chinese leaders would be wise to pursue a more sustainable course of economic growth combined with increasing military and diplomatic restraint.