Davos Close the Blinds Waiting for the USA to Return
Published in Il Sole 24 Ore
(Italy) on 01 February 2009
by Vittorio Da Rold (link to original)
(Italy) on 01 February 2009
by Vittorio Da Rold (link to original)
Translated from
by Simone Urru.
Edited by Louis Standish.
Everyone in Davos criticized the recent American development agenda, addressed to the growth of private consumption and to the excessive use of the financial lever. Chinese, Russians and Europeans raced with each other to point out the flaws of this messy plan that itself became, in the long run, unbearable.
Chinese Prime Minister pointed out he’s ready to change his plan from export to internal consumption. Still, he admitted that this is going to be a long and painful process because Beijing can’t afford retirement and public health plans like the ones in Europe. And without them the Chinese people, with their average incomes, can’t spend and are obligated to save money for the future. Even the Russian Premier Vladimir Putin raised his voice but finally stated the need of standing together in the crisis and assured that Moscow is going to do everything to guarantee energetic reliability through the creation of further gas pipelines linked directly to European markets and without geographical fractures (read Ukraine and Georgia). It’s a good thing, but still not much as regards the needs of this crisis that destroyed assets for ten billion dollars in a year.
Europe promised a lot and never produced, too. Most of all, it couldn’t give itself a single voice: the risk is the presence of polyphony of national plans only concerning single situations.
At the end of four days of debate (this time very meaningful), a lot of the 2500 participants to the World Economic Forum in Davos are hoping that public consumption in Washington will take the place of the American consumer. In short, they hope that Obama’s stimulus plans (Tarp 1 and 2) will work well and fast. The engine of worldwide development will start (no one knows when and no one can forecast precisely), once again, on the other side of the Atlantic. Davos is closing the blinds and the great absence was Obama’s administration, but its presence was felt as much as in every session under the Swiss snow. After the now forgotten USA bankers, for the next year representatives of the new administration are expected. As always.
Chinese Prime Minister pointed out he’s ready to change his plan from export to internal consumption. Still, he admitted that this is going to be a long and painful process because Beijing can’t afford retirement and public health plans like the ones in Europe. And without them the Chinese people, with their average incomes, can’t spend and are obligated to save money for the future. Even the Russian Premier Vladimir Putin raised his voice but finally stated the need of standing together in the crisis and assured that Moscow is going to do everything to guarantee energetic reliability through the creation of further gas pipelines linked directly to European markets and without geographical fractures (read Ukraine and Georgia). It’s a good thing, but still not much as regards the needs of this crisis that destroyed assets for ten billion dollars in a year.
Europe promised a lot and never produced, too. Most of all, it couldn’t give itself a single voice: the risk is the presence of polyphony of national plans only concerning single situations.
At the end of four days of debate (this time very meaningful), a lot of the 2500 participants to the World Economic Forum in Davos are hoping that public consumption in Washington will take the place of the American consumer. In short, they hope that Obama’s stimulus plans (Tarp 1 and 2) will work well and fast. The engine of worldwide development will start (no one knows when and no one can forecast precisely), once again, on the other side of the Atlantic. Davos is closing the blinds and the great absence was Obama’s administration, but its presence was felt as much as in every session under the Swiss snow. After the now forgotten USA bankers, for the next year representatives of the new administration are expected. As always.
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