Everything written about the economic crisis overlooks its true nature

"The opportunities to avoid the crisis lie in the past two or more decades. At some level we knew that we must save more and borrow less, that our ever-growing trade deficits were a threat to future prosperity, etc. We put those concerns aside, instead indulging in an orgy of consumer spending. Larger houses, more cars per household, granite counter-tops, insane government spending for every politically powerful group — from insane defense spending to bountiful agricultural subsidies.

Now the party ends and the hang-over begins. We fumbled our time as world hegemon and the world turns to something else — as yet unknown."

Quoted from a very interesting blog, fabiusmaximus.wordpress.com. He has lots of detailed analysis of where we are, how we got there, and what might lie ahead.