Global deficit tide debt 36 trillion economic recovery overshadowed

Germany's deficit clock in Berlin a financial tsunami has led to "debt-laden" countries around the world. Since entering the 2010, the global deficit phenomenon is becoming more and more prominent.　　With the February 1 Obama budget report of 2011 fiscal year--2010 The government deficit of a record $1.56 trillion trillion, the world began to worry about the global "deficit tide" of the intangible constraints on economic recovery. In an article published last September, the Economist warned that, despite the worst "financial turmoil" in the late 30, a serious government deficit would form another economic crisis. Now, following the Dubai crisis, the global concern about the extent of the deficit in countries such as Greece and Spain appears to have spread to the eurozone, while from Greece to the EU, from the EU to the United States, countries have launched a number of "dose" to reduce the government deficit.　　But in a fragile economic recovery, countries are facing many hurdles and risks from the deficit reduction plan, a shadow of the global economic recovery. Special text/Mao Yusi alert multi-country deficit beyond "cordon" if the countries of the 2009 feared that the global economy had not yet "bottomed out", they began to worry about the global deficit caused by the economic stimulus plan since 2010.　　From Dubai to Greece, from Greece to the eurozone, from Britain to the United States, the big government deficits in the countries of the European and American core developed economies, like chronic, vicious "tumours", erode the global economy that has not yet fully recovered. The deficit crisis has spread to the euro zone's Stability and Growth Pact, which is set by the EU, the eurozone member States must adhere to the deficit control of 3% of GDP.　　While this is a flexible reference, the government deficit in the eurozone and advanced economies such as the US has exceeded, or even far GDP, the reference "cordon" since last year's financial crisis. According to the data, Greece's 2009 government deficit accounted for more than 12% of GDP, Ireland's 2009 government deficit accounted for about 10.75% of GDP, and Spain's 2009 government deficit of 10% of GDP, the top three in the eurozone deficit. For now, the deficit crisis in the three countries seems to be spreading to the eurozone as a whole.　　In addition, France's 2010 budget deficit will account for 8.2% of GDP, Germany's 2010 budget deficit will account for 5.5% of GDP, the euro zone's overall deficit in 2010 may exceed 7% of GDP, and 27 of the European Union's 20 countries have a deficit problem, the EU has issued a frequent warning signal. Similarly, America's huge deficit has been a concern since Mr Obama's 2010-year ~2011 budget.　　The White House expects the federal government's fiscal 2010 deficit to reach $1.6 trillion trillion, accounting for 10.6% of GDP, the highest rate since the Second World War.　　　　Moody's 3rd warned that the US's top triple-a sovereign credit rating would be under pressure if the U.S. economy grew less than expected or if the government did not take tougher measures to address the deficit. HighThe deficit triggered financial turmoil since the 2010, Greece, Ireland, Spain and Portugal have become a global concern after the Dubai, leading to financial turmoil in several countries. The International Monetary Fund, the European Central Bank and Standard and poor, among others, have expressed concern since January, when the euro plunged sharply in the face of the Greek government's deficit data, and in the face of the high risk deficit that Spain's deficit was GDP in 2009.　　Whether Spain or Portugal will follow Greece into fiscal crisis has been a focus of attention. The eurozone's massive deficit problem has become one of the biggest risks to the global recovery.　　The ECB is concerned that the expansion of the euro zone's government deficit could trigger a downgrade of sovereign ratings, which could shock financial market confidence, and that countries must try to reduce the government deficit below the "cordon". The global debt overhang, which is higher than 36 trillion global deficits, is accompanied by an upsurge in global indebtedness. As early as last September, The Economist began to focus on the global debt crisis caused by the government's fiscal deficit and set up a "global government debt Clock" to get a real-time picture of global Treasuries. As of February 2010, global debt totaled $36 trillion trillion, and in 2011 global debts would exceed $40 trillion trillion, according to the global government debt clock.　　The debt clock shows that the United States, Canada, Japan and the eurozone are among the worst indebted countries. The February 8 issue of Forbes magazine covers "Global Debt Bombs" and explores the continued expansion of global debt. The analysis argues that, on the one hand, debtor countries have to "borrow money" because of the poor fiscal situation, on the other hand, because of the recession, the government must send more debt and rely on public expenditure to stimulate the economy. For the world, if GDP cannot sustain growth at normal rates, old and new debt will inevitably stifle growth, and low growth can put debt repayment in an unsustainable vicious circle, a terrible outcome. In order to prevent the vicious circle of debt crisis, the indebted big countries must restrain themselves and change the bad expenditure behavior.　　　　Once a lot of debt is repaid at a time when it is not able to repay it, a similar Dubai debt crisis will be repeated, leading to a "hell of a bunch" of debtors like the US. Coping with the "tightrope walking" between deficit reduction and employment in Europe and the United States governments are eager to show the public that the Government is committed to controlling spending while fighting high unemployment.　　　　However, from the current situation, the global economic recovery is fragile, the unemployment rate in the developed countries remains high, and it is difficult for countries to strike a balance between "keeping growth", "protecting employment" and "cutting the deficit". Countries to cut deficits some economists argue that if Greece "goes bankrupt" it is only a "problem" for the eurozone and that if Spain "goes bankrupt" it is a "catastrophe" for the eurozone.　　In view of this, the EU has asked Member States to submit deficit reduction plans to prevent the deficit caused further crisis. To reduce the deficit, BritainThe government even plans to hand over government fixed assets to raise money. Greece submitted a deficit-reduction plan to the European Commission on January 15, proposing a 4% per cent drop in the deficit to GDP by 2010, to 8.7%. Since then, 2011 has dropped to 5.6%, 2012 to 2.8% and 2013 to 2%.　　To this end, Greece announced a series of measures, including government departments in the next year to stop recruiting new civil servants, civil service wages cut 10%. Given that Spain is the eurozone's fourth-largest economy, its "bankruptcy" is much more destructive than Greece's, and the international community is more concerned about Spain's deficit-reduction programme.　　Since February, Spain has introduced "austerity plan" and tax increase measures, 1, 2010 budget cut off the expenditure of gdp0.5%, 2010 Public sector compressed employment 10%, plans to increase the value of VAT Party from July 2010, the income tax on savings. The high profile of the EU countries to cut the red "dose" effect, there is still a lot of uncertainty, some members of the deficit reduction programmes are also a big risk, and similar to Greece or Spain, such as the deficit caused by any "trouble", will be transmitted to the entire EU. As the European Union's economic recovery is fragile, countries ' deficit reduction could curb growth; if economic growth slows, it could in turn reduce taxes and increase budget deficits.　　　　In addition, the measures taken by EU member countries to resolve the deficit crisis, such as tax increase, dismissal, wage reduction and so on, directly touch on the interests of different sectors, and even promote the rise in unemployment, which has become the "main battlefield" for governments to wrestle. Obama "delays" deficit reduction February 1, Obama submitted a total of more than 3.8 trillion U.S. dollars in the 2011 budget report.　　Mr Obama's budget, despite the dilemma of high unemployment and a high deficit, is the top priority in tackling high unemployment, with the theme of creating jobs.　　In an effort to quell fears of a high deficit, Mr Obama has also taken a series of "cuts and expenses", including freezing some government spending, such as NASA's plan to return to the moon, imposing extra charges on large banks, imposing more than $1.37 trillion trillion in taxes on high-income earners and large businesses. Apparently, in preparation for the mid-term congressional elections of November this year, and in order to tackle the looming high unemployment problem and win votes, Mr Obama has chosen a "circuitous tactic" to take the immediate political interest and temporarily delay the deficit reduction.　　For nearly $4 trillion trillion in spending, Mr Obama's "cuts and cuts" are just a drop in the bucket. Many analyses of Mr Obama's deficit-reduction plan suggest that the United States cuts the government deficit, in the next 10 years is a "political image project", is almost an "impossible task", Obama's commitment is undoubtedly "dead", and he paid the price is: many political commitments of the "deficit",　　And then there is the "deficit" of voter trust. According to U.S. legal procedures, Obama's budget must be approved by Congress,Although the Democrats now have an edge in Congress, in the Senate, the Republican Party has achieved 40 seats that could thwart the bill, thanks to a recent victory in the Massachusetts by-election. The future revolves around high spending, high deficits and high unemployment, and the Republicans and Democrats are bound to embark on a fierce tug of the battle.