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No doubt current international fiscal plans can restore some measure of growth and employment.
They may even be sufficient to stabilize the eurozone via exports (if the eurozone can make it from here to there).
Not so clear is whether fuel consumption will be cut sufficiently to avoid a resumption of continuous price hikes and declining real terms of trade:
By Edward Luce
US President-elect Barack Obama intends to push a comprehensive programme of social and economic reform beyond an immediate emergency stimulus package, Rahm Emanuel, the next White House chief of staff, indicated on Sunday.
Mr Emanuel brushed aside concerns that an Obama administration would risk taking on too much when it takes office in January. He said Mr Obama saw the financial meltdown as an historic opportunity to deliver the large-scale investments that Democrats had promised for years.
Tackling the meltdown would not entail delays in plans for far-reaching energy, healthcare and education reforms when all three were also in crisis, he said. “These are crises you can no longer afford to postpone [addressing].”