Posted By Chaoran Hu
Government plays an important role in the financial structure and economy. All the government acts will more or less affect the economy. However, in a 60 minutes interview of Barack Obama. When asked about the financial crisis problem, he argued that the problems were caused by the deregulations. Actually, Government is also a victim of the economy recession.As Bloomberg recently updated, after the Federal Deposit Insurance Corp announced that they will mange the so-called bad bank plan so that the Obama administration is likely to set up as it tried to break the back of the credit crisis. Meanwhile, the U.S. stocks gained, since this act boost the confidence of the government. The Standard & Poor's 500 Stock Index rose 2.2 percent to 864.25 as of 11:48 am in New York. CitiGroup Inc. which has fallen 47 percent this year climbed 18 percent.Since government contributes to the economy changes, it now has to take lead of the economy; the only one who can rescue the economy recession is the government. The government will assist to boost the economy for the next couple of years.
Sources: U.S. Treasuries Drift Lower Ahead of FOMC Statement http://www.economicnews.ca/cepnews/wire/article/220579
Obama Says Not a ‘Moment to Spare’ on Stimulus Plan