Saturday, November 13, 2010

America left to face economy troubles alone

America left to face economy troubles alone: "SEOUL, South Korea - The Group of 20 summit ended Friday with a declaration of broad principles but no commitment to immediate action, signaling that the United States will have to go it alone in dealing with its fragile economy and nearly double-digit unemployment.

In their final declaration, leaders of the world's most powerful economies pledged to work together and refrain from protectionism and competitive devaluation of currencies. They also agreed to take steps to promote growth in low-income countries.

But when it came to specifics, a U.S. proposal to set numerical limits on trade surpluses and deficits was rejected. Leaders of the world's 20 biggest economies pledged only to develop 'indicative guidelines' to assess imbalances in the first half of next year.

'Any sense of global solidarity looks to have been yesterday's story,' said Tim Condon, chief economist at ING Financial Markets in Singapore.

World economic leaders also refused to endorse a U.S. effort to force China to raise the value of its currency.

President Barack Obama responded by lashing out at China over what much of the world thinks is currency manipulation to give it an advantage."

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