Avoid Double Dip Recession Occurrence: US Warns G20
Avoid Double Dip Recession Occurrence: US Warns G20

The US has said that the world's largest economies ought to keep their focus on maintaining growth, in order to avoid a double-dip depression. As the G20 summit starts in Canada, the US Treasury Secretary Timothy Geithner said Europe and Japan should increase domestic demand instead of bringing cuts in the investment.

European leaders have said that reducing Government deficits is the main help to setting long-term growth, on the right track.

But, Brazil cautioned that sheer budget cuts could discourage up-and-coming economies.

Speaking in Toronto at the summit, Mr. Geithner said the worldwide financial system was still emerging from its catastrophe and the scars of this disaster were still prevalent.

He said that the main agenda of this summit should be growth.

Emergency help that G20 leaders consented upon at preceding summits at the height of the financial disaster must not be withdrawn too soon, he said.

In addition to that, he said that all present at the meeting must not repeat that mistake, as it’s just been a year, since the economic slump enveloped every corner of the globe.

Europe and Japan should do more to arouse home demand in order to make it easier for other nations to export to them.

With nations emerging from the global slump at different paces, divisions have emerged on how to continue.

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