Excerpts From The Heritage Foundation’s Morning Bell Email:
…Outlines of the deal President Obama and other world leaders will agree to have been noticeable for weeks … and it is not good news for the American people.
…U.S. Treasury Secretary Timothy Geithner signaled the Obama Administration was more than willing to submit to global financial regulations telling reporters: “Our hope is that we can work with Europe on a global framework, a global infrastructure which has appropriate global oversight.”
This is just about the worst agreement that the summit could possibly have produced. It’s the worst of both worlds: more so-called stimulus spending for everyone, a globalization of Europe’s slow-growth economic model, and a subversion of U.S. sovereignty by a new global super-regulator. Heritage analyst Theodore Bromund explains:
Europe’s call for a global regulator with a mandate to ensure the stability and balance of the world economy would be a tremendous step toward forcing its slow growth model on the rest of the world. … These policies are a return to the concept of one size fits all and to the belief that politicians and unelected bureaucrats on the global level can effectively manage the world’s economy. Europeans should ask why, if this model works so well, it failed to stop the build-up of systemic risk in Europe.
Instead of more deficit spending and increased bureaucratic control G-20 nations should be working to fight rising protectionism worldwide and addressing the common entitlement crises that they all share.