British Prime Minister Gordon Brown said Wednesday an "economic hurricane" has swept the world and U.S. leaders shouldn't view the crisis as limited to America's borders. In a formal address to a Joint Meeting of Congress, Brown said that U.S.-European relations were at an all-time high and that the two nations must seize on the opportunity to bring about change. He warned that protectionism ultimately makes every nation vulnerable because "a bad bank anywhere is a threat to good banks everywhere." "No matter where it starts, an economic crisis does not stop at the water's edge," he said told lawmakers gathered in the cavernous House chamber. "It ripples across the world," declared Brown, whose speech was applauded on several occasions.
In a formal address to a Joint Meeting of Congress, Brown said that U.S.-European relations were at an all-time high and that the two nations must seize on the opportunity to bring about change. He warned that protectionism ultimately makes every nation vulnerable because "a bad bank anywhere is a threat to good banks everywhere."
"No matter where it starts, an economic crisis does not stop at the water's edge," he said told lawmakers gathered in the cavernous House chamber. "It ripples across the world," declared Brown, whose speech was applauded on several occasions.
I'm still not convinced all protectionism is a bad thing.
That would make interdependence and cross-border exposures bad, surely? Most economists teach a theoretical framework that has been shown to be fundamentally useless. -- James K. Galbraith
