Despite a debt crisis, a jobs crisis and no comprehensive bi-partisan solution to any of their problems likely in the near future, the U.S. still seems to think they are in a position to advise other countries on economic policy. However, European leaders at least seem to have told Geithner to go suck it.
Neil Irwin and Michael Birnbaum at the Washington Post have written a brilliant article outlining the reception U.S. Treasury Secretary Timothy Geithner received at a meeting of European finance ministers in Poland on Friday. Despite not even being able to convince his fellow countrymen that pumping money into the economy will aid averting financial catastrophe, this was the advice that Geithner gave. However respect for U.S. economic policy has declined to such a state that Geithner was even criticised by a nation as financially inconsequential as Austria.The Austrian finance minister Maria Fekter even commented after the meeting “I found it peculiar that even though the Americans have significantly worse fundamental data than the euro zone that they tell us what we should do”. The fact that U.S. economic advice and policy is regarded as so inconsequential by European Finance leaders that they openly criticise it to the media should tell the U.S. all that it needs to know. Respect for U.S. economic ideas is gone, and to regain it the U.S. must fix its own problems first.
Further Reading – Neil Irwin and Michael Birnbaum’s article at the Washington Post:
Europe shuns Geithner’s advice
BY NEIL IRWIN AND MICHAEL BIRNBAUM [email protected] [email protected] Birnbaum reported from Berlin.
The Washington Post
17 Sep 2011
Treasury Secretary Timothy F. Geithner delivered an unusually direct plea for action to his counterparts in Europe on Friday, urging leaders to move with more unity to head off a potential new wave of financial crisis on the continent. But he got a…read more…