International Financial Management Article Summary – Article Example
Sample Article US economy cannot go it alone, says Jack Lew. By Shawn Donnan and Sam Fleming Financial Times February 3, 2015
In his testimony to the congress, the Treasury Secretary Mr. Jack Lew stipulates that the economy of the US is projected to be higher and faster than all other highly developed economies combined. However, he asserts that this can only be possible if other major economies contributed substantially to the global economic platform rather relying solely on the US. A pledge signed by G20 members to increase domestic demand across the globe would have facilitated growth of both USA and other major economies. This was not the case as USA only recorded a 2.5% growth. The figure would have been higher were it not for the fact that the country’s efforts were being frustrated by other economic players.
Reasons for choosing the article: in the book Multinational Financial Management interdependence of key global market players is extensively discussed. This article is therefore relevant to the course as it us on how major economies rely on each other to survive. It is quite clear that the US is the global financial leader; however this factor alone is not enough for sustainable growth. The country needs other players to support it. Some of the questions that stem from this article include:
1. How will America convince her partners to contribute to global economic recovery?
2. Will the US have the huge growth that it is postulating this year?
3. How will other G20 members come out of the economic slump they are facing?
Donnan, Shawn. & Flemming, Sam. US economy cannot go it alone, says Jack Lew. Financial Times, 30 Feb. 2015. Web. 30 Feb. 2015. < http://www.ft.com/intl/cms/s/0/bb12669c-abb6-11e4-b05a-00144feab7de.html#axzz3QhxC6NKc>.