A year ago, when the Chinese stock markets were allowed to exist in a parallel universe, many suggested that perhaps China, growing ever stronger and stronger, was "decoupling" from the West. China would follow its own path, the thinking went, and leave the West behind in the dust.

Not quite. Hong Kong's local Hang Seng Index, like those in Shanghai and Shenzhen, has taken a free fall. Like it or not, our fate is still tightly tied together with the U.S.

There's no doubt that the American style of capitalism is suffering a major setback. But like democracy, while it was never perfect in the first place, it still is the best model we have. Its strength lies in its strong ability for self-correction.

I have no reason to believe it won't recreate itself, and for the better, this time. The U.S. will remain the model for the world until a better one can be found.

The Current Discussion: Will the current financial crisis discredit free-market policies in your country? Is socialism an echo of the past or a preview of the future?

Bank run is never fun, anytime, anywhere. And bank run amid the current financial tsunami would be worse than a nightmare. A major Hong Kong bank, Bank of East Asia, suffered from this fate just this week. The authorities reacted quickly and injected a lot of cash into the financial system; things have returned to "normal," more or less, for the meantime. These days, governments in Hong Kong or elsewhere wouldn't hesitate to do anything they see fit to help the financial sector. And the population at large would also go along.

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