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FT: The G20 looks increasingly divided and ineffective. WashPost: China is likely to resist global rebalancing. Telegraph: To affect Myanmar, pressure China.
The G20 looks increasingly divided and ineffective
Columnist Gideon Rachman writes in the Financial Times that the G20 faces seven major divisions that threaten to derail it. Rachman argues that these include the surplus vs. deficit countries, the manipulators vs. manipulated, the tighteners vs. splurgers and the democracies vs. autocracies.
QUOTE: The conclusion is dispiriting. Far from being the solution to the world’s most urgent problems, the G20 looks increasingly divided, ineffectual and illegitimate.
China is likely to resist global rebalancing
Columnist Robert Samuelson writes in the Washington Post that China knows it needs to increase its consumer spending to help global trade imbalances. But he argues that China will not change its currency policy anytime soon because it would risk unemployment and social unrest.
QUOTE: If China resists global rebalancing, it won't happen regardless of what this week's communique from Seoul pledges. The omens seem unpromising.
Obama’s trip signals shift in US-India economic relations
Correspondent Jason Overdorf writes in GlobalPost that President Obama’s trip to India marks a significant shift in US-India economic relations. For the first time, the United States is asking India for help as the countries become mutually dependent on each other.
QUOTE: By coming to India primarily as the leader of a business delegation — and in the supplicant role of seller, rather than buyer — Obama recognized India's global ambitions, and its ability to attain them.
US Federal Reserve faces tough opposition over monetary policy
Columnist Paul Krugman writes in the New York Times that US Federal Reserve Chairman Ben Bernanke is facing the same knee-jerk opposition to his monetary policy proposal that President Obama faced to his stimulus program. And Bernanke is responding in the same way: by watering down the proposal to the point of making it useless.
QUOTE: The case for a more expansionary policy by the Fed is overwhelming. Unemployment is disastrously high, while US inflation data over the past few years almost perfectly match the early stages of Japan’s relentless slide into corrosive deflation.
With China, the US shifts its foreign policy focus
Senior political writer Peter Beinart writes in the Daily Beast that China has become one of America’s most important foreign policy issues. In some ways, he argues, President Obama is acting more hawkish that former President Bush. As Obama struggles to handle China, his administration sells more arms to Taiwan, draws militarily closer to Indonesia and negotiates a nuclear deal with Vietnam.
QUOTE: For the moment, America’s China debate takes place in two, artificially separate, spheres. When it comes to defense, the right—more than the left—uses the Chinese threat as a justification for bigger military budgets. But when it comes to economics, the left—more than the right—insists that the US challenge the way China values its currency and treats its workers.
G20 leaders must work to ensure a stable global future
Australian Prime Minister Julia Gillard writes in the Wall Street Journal that the G20 leaders must focus on building strong foundations for sustained growth. The G20 must stay committed to tackling protectionism and saving and investment imbalances.
QUOTE: Above all, we must ensure that the next decade's growth is free from the imbalances that made the pre-crisis period such a source of volatility and risk.
To affect Myanmar, pressure China
Journalist Kate Allen writes in the Daily Telegraph that British Prime Minister David Cameron must press China to take a tougher stance with Myanmar during his upcoming visit. Due to its investments, China is the one country that could have a major influence on the Burmese junta.
QUOTE: The Burmese authorities must not be given the opportunity to use this façade of an election to escape scrutiny.
G20 should look to ASEAN as a model
Ramesh Thakur, professor of political science at the University of Waterloo, writes in Toronto’s Globe and Mail that the G20 should look to ASEAN as a model for how an institution can bring about comfort and mutual confidence among its members.
QUOTE: If the G20 can scale this achievement of building confidence and trust among leaders up to the global level, it will have more than justified its creation.
What Obama should tell Asia
James Traub, a contributing writer for the New York Times Magazine, writes in Foreign Policy that President Obama should use his upcoming speech in Indonesia to tell the Asian world that he recognizes that it’s living in the future. Asia can teach the rest of the world about economic growth and being a force for stability and prosperity.
QUOTE: We need Asia to continue demonstrating that democracy and equitable development are compatible; to propel worldwide economic growth; and, increasingly, to help us and other Western states shape that liberal global order.
Cameron should strive to understand China’s vision
Jonathan Fenby, China director of Trusted Sources, writes in the Financial Times that British Prime Minister David Cameron should not point a finger at China during his upcoming visit, but rather take the country for what it is and try to understand how the leadership hopes to move the country forward and transition its economy.
QUOTE: You should try to pitch your role higher to try to fit a piece into the great global puzzle – having grown so spectacularly in the last three decades, how will China evolve in the years to come, and what will that mean for the world?