The IMF has warned the US that its massive fiscal deficits have stoked inflation and pose “significant risks” for the global economy.
The fund said in its benchmark Fiscal Monitor that it expected the US to record a fiscal deficit of 7.1 per cent next year — more than three times the 2 per cent average for other advanced economies.
It also raised concerns over Chinese government debt, with the country set to record a deficit of 7.6 per cent in 2025 — more than double the 3.7 per cent average for other emerging markets — as Beijing copes with weak demand and a housing crisis.
The US and China were among four countries the fund named that “critically need to take policy action to address fundamental imbalances between spending and revenues”. The others were the UK and Italy.
Rampant spending by the US and China in particular could “have profound effects for the global economy and pose significant risks for baseline fiscal projections in other economies”, the IMF said.
The assessment comes amid mounting concerns among economists and investors that 2025 will prove a crunch year for US fiscal policy.
The presumptive Republican presidential nominee Donald Trump has pledged to make his 2017 tax cuts permanent, a move the Committee for a Responsible Federal Budget think-tank expects to cost $5tn over the next decade. Democrats have been accused by Republicans and economists of doing too little to cut “discretionary spending” on healthcare and social security.
On Tuesday, IMF chief economist Pierre-Olivier Gourinchas said… Přečtěte si více
@ISIDEWITH6mos6MO
Vezmeme-li v úvahu potenciální globální dopady amerického dluhu, do jaké míry by to měla jednotlivá finanční rozhodnutí a chování spotřebitelů brát v úvahu?
@ISIDEWITH6mos6MO
Jak vás myšlenka, že finanční rozhodnutí určité země mohou vyvolat celosvětové ekonomické potíže, nutí přemýšlet o globální propojenosti?
@ISIDEWITH6mos6MO
Podpořili byste vyšší daně nebo snížení vládních výdajů, pokud by to znamenalo stabilizaci ekonomiky země a ochranu globálního finančního zdraví?
@ISIDEWITH6mos6MO
Jakou morální odpovědnost, pokud vůbec nějakou, mají země za udržení finanční stability, aby se vyhnuly negativnímu dopadu na globální ekonomiku?
@ISIDEWITH6mos6MO
Jak byste se cítili, kdyby peníze, které dnes ušetříte, ztrácely svou hodnotu rychleji kvůli dluhu jiné země?