N.B.: I wrote this in January 2008. This
looks funny, in reflection.
Funny (ha-ha), don’t you think, that the U.S. is somehow the virus that gives Europe a cold when it sneezes? This implies that the US is somehow responsible for economic affairs in the U.S., despite the fact that every morning in New York, traders have to wake up to Europe’s mid-day jitters more often than not.
After all, even Christine Lagarde, who is nearly as North American as she is French, is adding the usual pedantic continental commentary as a show at home to be taken seriously and appear to have social depth while effectively demanding something from others one is largely unable to do oneself.
French Economy Minister Christine Lagarde said Tuesday that U.S. President George W. Bush should explain how the 140-billion-U.S.-dollar stimulus package will work to revive economy.
When asked if a U.S. recession will implicate Europe, Lagarde said there are big economic differences between the United States and Europe.
She explained that unemployment rate is on the rise in the United States but is declining in Europe and U.S. economy has begun a slowdown while Europe grows at a steady 2 percent.
The minister also said a U.S. recession will not be a "tragedy" for France as bilateral trade between the two countries only accounts for 8 percent of France's total foreign trade volume.
At the same time the Bank of France (whose real authority has been ceded to the ECB) chose a different tack while going into blame mode.
French regulator sees 'partial decoupling' of U.S. and EU economies
While there is increasing evidence that the eurozone economy is slowing, most of the factors that are contributing to the bleak outlook in the United States are not present on the Continent, according to the governor of the Bank of France, Christian Noyer.
Got it. We’ll see how different the public zeitgeist looks when thing are different, and America is called another sort of demon.