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...Fund has stepped in with emergency aid. (Latvia's government collapsed anyway.) Currencies have crashed, leading the European Central Bank to help Hungarians and Poles keep paying their foreign currency-denominated mortgages by pumping in euros. The fear now is that the region's banks could collapse, especially if Western banks yank credit lines to eastern subsidiaries. Such a move would be counterproductive. Western banks, particularly in places such as Austria, Belgium and Sweden, have huge exposure to emerging Europe's economies. If banks there crash, it could trigger a financial domino effect that ends up hurting everybody...

Author: /time Magazine | Title: Solidarity's End | 3/5/2009 | See Source »

...Reality mandates that, even if the Western European countries dedicate maximum available effort and resources to support Eastern nations, there will still be a shortage of funds and instability will endure. Both Eastern and Western European countries should appeal to outside sources of aid and attempt to garner increased assistance from institutions such as the IMF. Only with a combined effort does the European Union have the credible means to pull through the economic crisis...

Author: By The Crimson Staff | Title: Eastern Promises | 3/4/2009 | See Source »

...troubled conditions, countries have a natural impulse to turn inward and focus on their own problems. However, the member states of the European Union are not isolated nations, but part of a larger political cooperation. Both for egotistic reasons and for the long-term well being of the EU, Western European countries must lend their support to Eastern European nations and attempt to retain a unified Europe...

Author: By The Crimson Staff | Title: Eastern Promises | 3/4/2009 | See Source »

...with Russia undermine ties with Georgia and the Ukraine? How heavily will Obama’s administration prioritize aid to Africa? Will he get anywhere on the road map to a Middle East peace? Will cooperation over the financial crisis suffice to effect a real rapprochement with our traditional Western European allies? Yet, in the long run, the most important question in American foreign policy remains what level of engagement we will seek with China. And, as Hillary Clinton’s recent trip to Asia demonstrates, the most worthwhile strategy for pursuing Sino-American cooperation is teamwork on climate...

Author: By Clay A. Dumas | Title: Hillary Goes to China | 3/4/2009 | See Source »

...doesn't seem to fill his suit, and he talks too quickly, and he swallows the ends of his sentences, and he gives the impression of a grad student taking an oral exam, not someone leading the country out of perdition. But he'll be the hero of the Western world if his plan to subsidize the sale of toxic assets leads banks back from the brink...

Author: /time Magazine | Title: Geithner Tries to Resell the Bank Plan — and Himself | 3/4/2009 | See Source »

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