Global reaction to bailout talks

The financial crisis has everyone on edge including the British Prime Minister who’s expected to fly to Washington for an emergency meeting with Bush. He believes quick action is needed to bring resolution to this crisis and then adding in rules for responsibility and transparency. One consequence of a lack of transparency and responsibility is that the organizers of the 2012 Olympic Games in London are having a tough time securing funding. French President Sarkozy has suggested the risk takers who have gotten the world into this mess should be punished and he warned the global financial crisis would hit French growth and living standards. This German analyst cautioned the market crisis in the U.S. would leave deep markets on the global economy and that Germany could feel pains too. He believes the long term result of this turmoil could be a system less focused on Wall Street. Yet this analyst says any predictions of Wall Street’s demise are premature and there are no candidates which can fill the Wall Street’s shoes. That said she believes recent events have struck major blows to America’s credibility abroad. U.S. officials haven’t retreated any in light of that and Secretary Rice believes free market capitalism remains a positive force for the world. Canada’s Prime Minister seemed to echo that view today and said he was optimistic that America’s economy would bounce back.