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Embarrassment in Seoul

Wall Street Journal Original article ›

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The failure of the Obama administration to negotiate a trade treaty with South Korea during the G-20 talks in Seoul. The lack of efforts to lay the groundwork for such a treaty in the last 2 years. The Journal is critical of Mr. Obama's embrace of Federal Reserve policies to buy $600 billon of Treasury securities, which drew criticism from all sides during the G-20 talks. Failure of Mr. Geithner and Mr. Obama to draw attention to China's sterilization of capital inflows and recycling them into US government debt, instead of allowing capital to flow in and out more freely. Overfocus on the call for limiting each nation's trade surplus to 4% of GDP, when attention could have been drawn to a number of serious concerns about China's policies. Valuable political energy lost in defending the Fed's move and calling for the 4% of GDP limit to surpluses. Result is a loss of American leadership for the first time at a summit conference of world leaders.

Free trade agreements in Asia are growing rapidly.

11/22/2006

The FTA's include agreements between South Korea and India and the agreement between China and Taiwan. About 166 signed since 1999, and 62 are in negotiation stage.

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Embarrassment in Seoul

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China's Wen Pushes India Trade

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China's Vanishing Trade Imbalance

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The Oct. 2010 G-20 meeting in S. Korea and the trade and currency compromise.

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Fixing a Perception Gap for the Underappreciated G-20

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G-20 Tentatively Agrees to Curb Trade Imbalances

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Dollar Weakens After G-20 Talks

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Taking Harder Stance Toward China, Obama Lines Up Allies

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A Four-Point Plan for the G-20

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Steven Pearlstein - After years of imbalances, a painful reckoning

Washington Post 11/11/2010


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