Economic crisis impact on other countries
Sep 30th, 2008 by ariannarana
The economic crisis in the U.S. has not only affected American citizens, but it has had major implications for the rest of the world.
“It’s not fair for Latin American, African and Asian countries to pay for the irresponsibility of sectors of the American financial system,” the president of Brazil, Luiz Inacio Lula da Silva said.
In an article published by Aljazeera, da Silva said that rich countries “need to take responsibility” because growing economies that “have done everything to have good fiscal policy… can’t be turned into victims of the casino erected by the American economy.”
Despite the 9.4 percent plunge in Brazil’s Ibovespa stock index, the president believes their exports will continue doing well and the industry will continue growing.
Australia, Great Britain and Japan also felt the effects of the U.S. economy crisis as the chain reaction of chaos ensued, according to Al Arabiya News Channel.
British Prime Minister Gordon Brown sent a message to the White House stressing the importance of “taking decisive action.”
The Japanese premier Taro Aso agreed saying, “We should not let the world financial system collapse.”
However, not all countries feel this way. According to Dar Al-Hayat, certain countries, especially Russia, see the economic crisis as American weakness and an opportunity to engage in diplomatic, political and military action.
The Middle East has not been affected detrimentally because they continue to be a nation of elitist prosperity. Countries such as Iran, will use this US weakness to their advantage in regard to world affairs and the war in Iraq.
Written by Sara Castellanos & Arianna Ranahosseini