Some experts fear that deteriorating economic conditions in the U.S. could affect other regions of the world. Asia is facing a fragile recovery, parts of Latin America are struggling, and Europe may not have the strength to take up the slack.
The U.S. economy is much more integrated with the rest of the world than it was even as recently as the 1990-91 recession.
Many experts agree that quick passage of President Bush’s across-the-board tax cut, coupled with a significant reduction in capital gains tax rates, could turn the looming recession into a modest dip. Such moves would be welcomed by other countries, not to mention U.S. taxpayers.
Source: James Cox, U.S. Slowdown Would Ripple Around Globe, USA Today, January 22, 2001.
For text http://www.usatoday.com/money/bcovmon.htm
For more on International Economic Growth http://www.ncpa.org/pi/internat/intdex3.html
