Word: withdrawal
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...actually walk the walk. After a year of contraction, U.S. GDP grew 3.5% in the third quarter of this year, but the jobless rate has surged to 10.2%, the highest since 1983. Raising interest rates runs the risk of worsening unemployment. For the same reason, the U.S. cannot withdraw stimulus spending either, even though the U.S. budget deficit has topped a record $1.7 trillion. Last week, mortgage lender Fannie Mae reported $18.9 billion in third-quarter losses and said it needs another $15 billion in taxpayer money to survive...
...potential increases in U.S. stimulus spending even as other economies start to withdraw their programs and tighten monetary policy bring more uncertainty to the prospects for the global economy. One early casualty is the U.S. dollar, which has weakened significantly against most other major currencies. A continued fall appears likely as investors park their capital in Australia and elsewhere, because interest rates are trending higher there and economic growth is far more robust than...
...Afghanistan in the knowledge that the mission's Afghan partner for the foreseeable future will be one whose ability to deliver has long been questioned, even by Obama. And this at a moment when U.S. public support for the war is dwindling - yet Obama's being seen to withdraw in defeat could also be politically devastating to the Democratic Administration...
...growing danger of the U.S. "losing Fatah" was highlighted recently when, in response to Israel's threats to refuse negotiations if the Palestinians backed U.N. discussion of the Goldstone report, the Obama Administration leaned on Abbas to withdraw support for taking up the issue at the U.N. Abbas initially complied, but was forced by a firestorm of criticism from both Hamas and Fatah to quickly change course...
...economic recovery emerges, governments are hoping for another coordinated effort to exit from their massive stimulus plans, including near-zero interest rates. That intention was clearly laid out during the September G-20 summit in Pittsburgh, Pa. The leaders of the world's 20 most influential economies pledged to "withdraw our extraordinary policy support in a cooperative and coordinated...