martes, 30 de noviembre de 2010

Obama proposes to freeze two years the salaries of public employees

U.S. President Barack Obama, proposes to freeze the salaries of federal government workers for two years.
The measure would affect only the civilian and not military, even if the Defense Department would save U.S. $ 2,000 million in fiscal year 2011, 28,000 million over the next five years and more than 60,000 million in next decade, according to White House estimates.
The administration has reviewed the various levels of public salaries, and has concluded that the most skilled workers have a wage slightly less than they deserve, while employees with less preparation are "overpaid" compared to the private sector.


Obama freeze the public salaries

"This freeze is not a punishment for federal workers or a lack of respect for the work they do," White House apologized in a statement. "From doctors to nurses who care for our veterans, men and women who care for our national parks", calls the White House.

"Because of the irresponsibility of the past decade, the president has inherited a deficit of $ 1.3 billion (...) that threatens to drag the nation into a second Great Depression," says a government statement."This is the first of several actions to take in the next budget to put our nation in fiscal path, so we asked some sacrifice to us all," he adds and the U.S. public salaries.

U.S. public salaries

These measures include the freezing of salaries of politicians and the elimination of subsidies and save U.S. $ 8,000 million cut in excess of public buildings with government agencies."The president presented a reduction of more than a trillion dollars of deficit in the 2011 budget, including a three-year freeze on public spending unrelated to security, which will lower spending in this concept in 50 years" , says the White House U.S. public salaries.

viernes, 26 de noviembre de 2010

Zapatero is the 'key' to save the euro

The British weekly The Economist says the Spanish prime minister is "the key" to prevent the collapse of the euro, and that what happens in Spain is "crucial" to the single currency. Therefore, claims the leader of the Spanish government to "revive the reforms" to stop the fall of the euro.
"The euro's future resides in Germany and the European Central Bank, they, after all, are those with the money. But right now, Zapatero is the key. If you act quickly, he could play a key role to prevent the collapse of the single currency, "he added Euro and european economy."
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In an article entitled 'Contagion from Ireland to Iberia', 'The Economist', which also refers to the Spanish prime minister as "Zapateuro" points out that, unlike as happened after the rescue to Greece in May, investors are Instead of just "have stopped to catch his breath before continuing knocking the Irish assets, as well as Portugal and Spain Euro and european economy."
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 Zapatero the solution to save the euro


"The euro's future will be secured only when the infection is gone. And this, it is now clear, depends crucially on what happens in Spain," he warned.
In this line, the financial weekly said that while "panic" was limited to Greece, Ireland and Portugal, the eurozone could afford it, but warns that Europe's rescue plan "is not big enough" to cope with the problems of the fourth largest economy in the euro zone, with a GDP that exceeds that of Greece, Ireland and Portugal combined.
In this regard, stresses that fears about Spain seem "exaggerated" because, while sharing some of the banking problems in Ireland or the "horrible competitiveness" of Greece, has fewer problems than them. "The public debt of around 60% of GDP, is below the German and the EU average. Its banks are strong. His multinationals are increasing their exports," he adds Euro and european economy."
However, accused Zapatero, "who has shown that really understands the need for reform", of making a "big mistake" when it adopted its adjustment measures in May after the pressure received by the markets after the crisis in Greece . "In part because these actions earned him a break from the markets, and partly because it resulted in a 10-point drop in popular support for the PSOE and the general strike call their friends in the unions, others postponed reforms, "he criticizes.

Euro and european economy

Thus, 'The Economist' points out that Zapatero is now again facing markets "with open eyes" and a widespread perception that the Spanish economy will only grow. Also, remember that unemployment has been stuck above 20%, the indebtedness of households and firms is above the European average and that the "impenetrable regional government accounts invite suspicion and the Euro and european economy."

In this sense, the British weekly emphasized that when markets are consumed with worry is never easy to change their minds, so they said that if Zapatero wants that to happen, should take several steps "quickly."
Among these, the need to develop a medium term fiscal plan "credible", which means come clean on the debt of the banking system and the regions, and to accelerate a plan to increase the retirement age from 65 to 67 years Euro and european economy."

Secondly, points out that Spain should do more to help Spanish companies to compete, "because once it is clear that Spain can grow, your debt will be much less fear." In addition, notes that his labor reform was "very shy" with "a rigid, centralized system of collective bargaining mandates for annual growth of wages, no matter what."

martes, 16 de noviembre de 2010

Crisis in the EU for the lack of agreement on the budget

Approval of the budget of the European Union (EU) by 2011 has run aground on Monday definitely differences between the governments of the Twenty and the European Parliament (EP), which opens a new crisis in the air leaving the funding for next year.

With an agreement on the figures for next year under his arm, the Council, an institution that represents the Member States, and the Parliament have made a pact not to move them forward because of the war between a minority of countries and parliamentarians
and the The european crisis.
A group of Member States, led by the United Kingdom and the Netherlands have refused to accept the demands of PE, which requires a series of political commitments in return for giving up its claim to increase the budget next year by 6%. MEPs want guarantees in writing about his role in deciding the future of EU funding and the opening of a debate on the EU to provide more resources with which to finance themselves. In the two claims that today have become a "no" convincing national budgets, although the Belgian presidency has exhausted the deadline, set for midnight, looking for a deal and the
The european crisis .


The european crisis
The position of countries is difficult to accept for the MEPs, who believe that the Council did not have such account as it should be as set by the Lisbon Treaty, to which the rules are negotiating the budget for the first time this year. This was acknowledged on Monday the European Commissioner for Budget, Jamusz Lewandosky, who has warned countries that their refusal to agree would be seen as an "insult" by the Parliament
and the The european crisis.

The commissioner, who has tried to facilitate an agreement between the two institutions has ensured that the "absolute majority" of countries willing to reach an agreement and has accused "a few delegations" to inflate their demands and derail negotiation
and the The european crisis.
"Parliament has shown from the beginning a great sense of responsibility", stressed in a press conference the chief negotiator of the Parliament, Alain Lamassoure, who stressed that the deputies had never before accepted as is raised by the figures Council. The expiry of an agreement, the European Commission will now propose a new draft budget, which will need to be considered by the Council and Parliament. According Lewandosky, "probably" the EU will have to start the year by extending the budget this year and using the system known as "twelfths", giving a monthly expenditure of up to one twelfth of the budget of the previous period. This, according to Brussels, "seriously affect" projects like the Foreign Service or the new structures of financial supervision
and the The european crisis, two of the flagship initiatives of the Union.

European Budget
"The beginning of next year will not be easy for the beneficiaries of the EU budget," warned the sheriff, who deeply regretted the "fiasco" of the negotiations
and the The european crisis.. Meanwhile, some sources insist that the budget could still be agreed before the end of the year and that the matter will be discussed by the Heads of State and Government, meeting in Brussels in mid-December. The President of the European Parliament, Jerzy Buzek, who participated actively in the negotiations, has said in turn that the institution will do "everything possible" to approve the budgets.
In the same vein, the Belgian Minister of Budget, Melchior Wathelet, has insisted he can still get an agreement, provided that both parties are willing to give up something. They will have to overcome the reluctance of countries like the United Kingdom and the Netherlands, contrary to cede in Brussels at a time when they are forced to implement major cuts at home. The EU budget is roughly equivalent to 1% of gross national income of the EU and more than two thirds of it are engaged in agricultural support and cohesion and development
and the The european crisis..

jueves, 11 de noviembre de 2010

Obama: 'U.S. and China are forced to seek growth'

The U.S. president, Barack Obama said at the beginning of a bilateral meeting with his Chinese counterpart Hu Jintao that the two countries, major economies in the world have the obligation to seek "a firm footing and sustained growth."
Both leaders met shortly before the opening today of G20, which groups the world's major economies, in Seoul and the U.S. and China Currency..
As indicated by the U.S. president, who said the two world powers have strengthened their ties in recent years, the two countries have "special obligations" to ensure nuclear stability.
For its part, the Chinese president said his country will "strengthen dialogue and cooperation" with the U.S..

U.S. and China Currency


"The Chinese side values its relationship with the U.S.. A solid relationship with the U.S. is good for the Chinese people and for peace and prosperity," Hu said in the seventh bilateral meeting between both leaders.
Currency WarThe two presidents have abundant business to discuss. Their countries are heading to a confrontation during the G20 summit on their respective monetary policies, the "war of currencies" and imbalances in current account balances and the U.S. and China Currency.
Washington believes the Chinese currency, the yuan, artificially listed below market value and calls for Beijing to let more rapidly fluctuating more freely.
Beijing is reluctant to liberalize the price of its currency more quickly for fear the effect this may have on their exports and inflation and the U.S. and China Currency..

U.S. and China Economy

But the Republic has also harshly criticized the decision by the U.S. Federal Reserve last week to inject liquidity into the system, valued at 600,000 million dollars.That, argues Beijing will devalue the dollar and adversely affected other economies in its exports.China also refuses to limit its current account surplus of 4% of GDP, as proposed by the U.S and the U.S. and China Currency..
The two leaders will also address issues such as human rights in China, the nuclear programs of Iran and North Korea, Burma elections and the referendum on self-determination in southern Sudan due in January.

lunes, 8 de noviembre de 2010

China, the rescue of Portugal

For more than a decade that a Chinese president did not visit Portugal. It has done this weekend, Hu Jintao. He came with deeper pockets with which business has closed major agreements with China wants trade with Portugal, currently in about 2,400 million per year, is seen doubled to 2015 and the China Economy. and the China Economy.
The highest Portuguese authorities have welcomed Hu and his large party with all the pomp and circumstance, diverting even a demonstration organized by Amnesty International to defend human rights in China, banned in Belém, first stop the Chinese president. It had nothing to tarnish a visit from the standpoint of economics and finance, as well as political, could represent a great achievement for Portugal and the China Economy..
During the days prior to arrival Jintao, the Lusa press speculated that China bought part of sovereign debt, which is why Finance Minister Fernando Teixeira dos Santos has been in the two meetings held with Hu Jintao President Cavaco Silva and Prime Minister Jose Socrates.

China and Portugal Economy

Although there is nothing concrete yet, in his speech, no right to question-this Sunday, President Jintao said his country "is willing to support through concrete action the Portuguese efforts to minimize the impact of financial crisis in country and the China Economy.. "

In return, China is in Portugal, as well as a potential trading partner, a gateway to other markets that interest you, not just the south of Europe, which has expressed interest in the logistics platform of the port of Sines, but also in Angola and Brazil, two countries of Portuguese language and with which Portugal maintains a close collaboration.
In fact, thirteen cooperation agreements signed today between the two countries, power and China's EDP lusas ICC has established a memorandum of cooperation to carry out joint projects on renewable energy in Asia, Africa, Europe and Brazil and the China Economy.

China Economy

For its part, the Industrial and Commercial Bank, the largest Chinese financial institution, has negotiated its entry into the capital of the Portuguese Central Bank (BCP). And the telecommunications company Lusa Portugal Telecom and China's Huawei has established the principles of a strategic partnership to develop next-generation services.
For its part, Portugal is in this new strategic partnership with China not only an opportunity to expand their exports, which have grown over 60% last year, the Asian giant, but more importantly, to launch a new international markets message of peace, thanks to the Chinese government's interest in buying part of its sovereign debt, as it did before with Spain and Greece and the China Economy..