As much as the media wants to pretend otherwise, I'm just not seeing all the global hugs and kisses Obama promised. Obama the protectionist.
The prospect of a trade war between the US and Europe is looming after "Buy American" provisions were added to President Barack Obama's $820 billion (£573 billion) stimulus package.
The EU trade commissioner vowed to fight back after the bill passed in the House of Representatives late on Wednesday included a ban on most purchases of foreign steel and iron used in infrastructure projects.
The Senate's version of the legislation, which will be debated early next week, goes even further, requiring that any projects related to the stimulus use only American-made equipment and goods.
The inclusion of protectionist measures has quickly raised hackles in Europe.
Catherine Ashton, the EU trade commissioner, said: "We are looking at the situation. The one thing we can be absolutely certain about, is if a bill is passed which prohibits the sale or purchase of European goods on American territory, that is something we will not stand idly by and ignore."
Some industrial giants also question whether the Buy American laws would contravene US obligations reached in various World Trade Organisation agreements.
They also point to the 1930s as a lesson in the perils of protectionism. Congress passed the Buy American Act in 1933, allowing the government to favour US products for government contracts. Restrictions were eased in 1982, but the plans currently working their way through Congress would bring the new law close to its forebear of 75 years ago.
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I don't think things are going to get any better from here on out either. Unless you've got some savings in gold and silver. I just looked at ExactPrice and the news today of the gdp here and around the world has both climbing fast. $929.90 and $12.59.
Did you see the article in the cnbc today from some economists saying that this bill could cost upwards of 4 trillion dollars. Can we say, INFLATION? Here's the link: Bank Bailout Could Cost Up to $4 Trillion: Economists.
Life is about to get a lot more simple I think, because we are going to be doing without a lot of the luxuries of life we've come to look upon as necessities.
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