Gordon Brown - who is also known for his slightly silly “Golden Rule” of balancing the budget on current expenditures – has called for a coordination of a “concerted global action plan” in a Reuters Opinion article Decisive Euro Action Is Needed At The G20 Summit.
In my opinion the idea is roughly right – at least someone in talking in this direction.
There needs to be institutions to run the world economy on a fresh set of principles on coordination of fiscal policy, regulation of international capital flows and trade in goods and services instead of having blind faith on market forces.
According to The Telegraph (Gordon Brown: France And Italy May Need A Bail-Out):
Mr Brown’s call is unlikely to come to fruition. Sources have played down speculation of a major international plan, with the summit expected instead to put pressure on Germany to agree to new pan-European bonds.
If anyone has a link to the article of Gene Frieda of Moore Capital on Spain (referred in the Reuters article) please send me.