Developed nations debate how to restore growth
MARSEILLE, France (AP) — The finance ministers and central bankers of the world's most developed economies are wrangling over how to revive a faltering economic recovery.
Talks at the so-called Group of Seven in Marseille, France, are set Friday to revolve around the scope for growth stimulus at a time when interest rates are already low and government debt is high.
President Barack Obama proposed Thursday a $447 billion plan to create jobs. But in Europe, many governments have little wiggle room as they implement tough austerity cuts.
U.K. Chancellor George Osborne told journalists in London Friday that the U.K. austerity plan "is the rock of stability on which our economy is built."
International Monetary Fund Christine Lagarde, meanwhile, warned "consolidation, if it happens too quickly, will hurt the economy and worsen job prospects."