Leaders of the world’s largest economies met in Mexico this week for the G-20 summit, where talks about Europe’s fiscal crisis topped the agenda. European Union leaders offered a plan to integrate its banking sectors, which should help stimulate growth and lessen the cost of borrowing for EU countries. Senior Fellow Domenico Lombardi weighs in on the talks, saying the house is on fire and a solid plan to deal with the fundamental issues of the crisis is in order. If the euro area crisis is left unchecked, Lombardi says, it could bring down the entire global system.
Rather than serving as a unifying diplomatic exercise to highlight Iran’s troubling regional activities, the [Warsaw] summit primarily highlighted America’s diplomatic isolation from its European allies.