Trade Deficit and Economic Growth

It was a bit surprising to me this morning to read that EU Economic and Monetary Affairs Commissioner Joaquin Almunia was blaming the potential world-wide recession on our trade deficit. I believe that the trade deficit, a reflection of the American consumer's support of the world's goods and services, has been a key driver, and maybe the key driver, in producing the current state of world prosperity.

I applaud FED Chairman Ben Bernanke for his leadership in moving the FED Funds rate down to 3.5%. Hopefully, this will establish enough confidence in the world markets by consumers, businesses and governments to produce price stability and consistent economic growth.

My next hope is that the American people will choose wise leaders in the next election that will forge unified solutions to many of our key problems, including health-care, energy and social security.