G7 Must Work With IMF to Avert Global Recession
Peter Boone & Simon Johnson | October 13, 2008
It will not suffice if the G7 only saves the financial systems of its own members. ++ The wealthiest nations can afford to shore up their banks, but emerging countries won’t be able to do the same on their own. ++ Steep recessions will follow in emerging regions and will in turn dampen the economies of Western Europe and the US. ++ Therefore, in its own interest the G7 should ensure that their banks continue to deal with emerging market banks and support the IMF in its work with countries that require fiscal support.
