Global Reactions To U.S. Financial Crisis
While the world waits for the U.S. to agree on a financial rescue plan, there is mounting economic pressure, overseas. Many foreign leaders are refusing further help, and say the U.S. is on its own, but there are persistent concerns that if Wall Street fails, global markets will follow. ABC News’ Gloria Riviera has more.
While the world waits for the U.S. to agree on a financial rescue plan, there is mounting economic pressure, overseas. Many foreign leaders are refusing further help, and say the U.S. is on its own, but there are persistent concerns that if Wall Street fails, global markets will follow. ABC News’ Gloria Riviera has more.
Advertisement
Text size: small | medium | large
ABC News
Published: September 26, 2008
New York City, New York, ABC News, U.S., financial crisis, world, reaction, Wall Street, bailout, WJBF-TV News Channel 6
New York City, NY—The world is already doubting whether the U.S. will remain a financial superpower, and blaming American greed for causing the chaos. Germany’s Finance Minister said U.S. financial dominance is on an irreversible decline and that the future financial world will be multi-polar.
But this claim by President Bush is bringing on the most vitriolic response: “Despite corrections in the marketplace and instances of abuse, democratic capitalism is the best system every devised.“
At the UN General Assembly, the President of Honduras disagreed: “Capitalism is devouring humans, and now it is devouring the creators of the system.“
Other leaders suggested the proposed $700 billion bailout could be used to end world hunger, and that the world’s poorest countries will suffer the most.
While the U.S. focuses on Wall Street’s suffering, it is finding dwindling world support during the financial crisis. Appeals from the Treasury Secretary for international help are now falling short. Stock markets around the world remained on edge. The British Prime Minister, Gordon Brown, is in New York. The UK is backing the U.S. by pumping billions into its own market. But, massive institutions, such as Lloyd’s Bank, are beginning to show cracks similar to those in the U.S.
James Ferguson, Pali International: “The trouble with the U.S. situation is that it appears, so far, that we are following the U.S. at about a three to six month lag. So, whatever is happening in the U.S. is likely to happen here.“
And no one wants to catch any more of the ailments from across the pond.
Post a Comment
The commenting period has ended or commenting has been deactivated for this article.
Can't find what you're looking for? Try our quick search:
