EUSSR: ECB HAPPILY TELLS PUBLIC TO PREPARE FOR A SLOWDOWN - RATHER THAN LOWER RATES

BBC:

Economic growth across the EU will slow in 2008 because of a weaker US economy and problems in global financial markets, the European Commission says.

Brussels is now forecasting 2.4% growth in the 27-member union in both 2008 and 2009, compared to 2.7% this year.

In the 13-member eurozone, growth is expected to slow to 2.2% next year, down from the 2.6% projected for 2007.

European banks have not been immune to the global credit crisis triggered by the slump in the US housing market.

• THE ECB HAD THE CHANCE TO LOWER RATES A SHORT WHILE BACK, BUT HELD THEM. SARKO WAS PISSED - FOR GOOD REASON. (MORE HERE.)
  

• THIS HELPED PRECIPITATE THE DECLINE OF THE DOLLAR TO THE EURO - WHICH HELPS THE USA ECONOMY BUT HURTS THE EUSSR.

• THE ECB IS MORE CONCERNED WITH EUSSR FISCAL RESTRAINT AND WITH A STRONG EURO, THAN WITH GROWING THEIR ECONOMIES.

• THE FACT THAT THEY WILL NOW SUFFER ECONOMICALLY (UNEMPLOYMENT - ALREADY TWICE WHAT IT IS IN THE USA - WILL LIKELY GO UP SOME MORE) - AND THEY WILL BUY EVEN MORE USA GOODS AND SERVICES - ONLY PROVES THAT AMERICA'S ECONOMY IS CENTRAL TO WORLD ECONOMIC HEALTH.

• IF THE LEFT GETS IN POWER IN THE USA, AND RAISES TAXES AS THEY'VE PROMISED TO DO, THEN THE ENTIRE WORLD WILL SUFFER.

• OF COURSE: THE POOR AND THE CHILDREN WILL SUFFER THE MOST.

AMERICAN CONSUMPTION IS OFTEN CONDEMNED BY THE LEFT, BUT IT FUELS THE WORLD'S ECONOMIC WELL-BEING.

FOR THE WORLD ECONOMY - AND THE CHILDREN - AMERICANS SHOULD CONSUME EVEN MORE, NOT LESS. AND THE ECB SHOULD LOWER RATES, AND THE CHINESE SHOULD LET THEIR CURRENCY FLOAT, AND JAPAN SHOULD OPEN UP THEIR ECONOMY.