The European debt crisis is growing to the point that it won’t be solved by one group of countries, Christine Lagarde, the managing director of the International Monetary Fund said today.
Lagarde said that if countries don’t work together, the world will face a situation similar to the 1930s, before the world slid into World War II.
There is no economy in the world, whether low-income countries, emerging markets, middle-income countries or super- advanced economies that will be immune to the crisis that we see not only unfolding, but escalating at a point where everybody would actually have to focus on what it can do,†Lagarde said.
If the international community doesn’t work together, “the risk from an economic point of view is that of retraction, rising protectionism, isolation,†Lagarde said. “This is exactly the description of what happened in the ‘30s and what followed is not something we are looking forward to.â€
Full article: http://www.bloomberg.com/news/2011-12-15/imf-s-lagarde-says-escalating-european-crisis-requires-more-cooperation.html
