Several months after the leaders of Earth's most prosperous nations left Toronto, they were embracing the Stephen Harper message that we need to cut deficits and Canadianize world banking. Now they have met in Seoul Korea and are deeply divided on what to do about the current currency conflicts sprouting up among developed nations. It was a bit of a shocker to see the Prime Minister defending Obama's "quantitative easing" initiative, which has drawn significant criticism from the international community. Our PM is at the G20 conference defending the US federal reserve decision to buy $600 billion of their own debt (like using the visa to pay off the mastercard).
Canada is in a great position regardless of what monetary policy emerges from this G20 conference, but if the American economy tanks, they will drag us down with them.
"Canada is in a great position regardless of what monetary policy emerges from this G20 conference, but if the American economy tanks, they will drag us down with them."
ReplyDeleteYes they will. but really looking at the fundamentals in the US and getting beyond that Republican spin about 'money sitting on the sidelines', it's probably not 'if' but 'when' the American economy tanks, or more correctly, fails to recover.