大象传媒

Many countries - particularly Germany and Britain - are cutting government spending and raising taxes to try to cut deficits in the public accounts.

But will it only make the world economy worse off? And what should America do in the new Age of Austerity?

If it keeps importing as other countries cut back demand, how will it fund its spending? The looming global imbalances - do they matter and what can be done? Might they lead to a trade war?