Does Tim Geithner Realize His Germany Visit Did Not Go Well?
The New York Times said Geithner Sees Consensus on Finance Reform while the Washington Post insisted United States and Germany remain divided over financial regulation issues. So does that mean Geithner believes we're all on the same page but Germany is like hell no?
Let's go with WaPo on this one:
Top U.S. and German officials on Thursday acknowledged differences over key financial regulation issues, and they said a "broad agreement" on basic concepts may not produce uniform rules in all the world's capital markets.
After what German Finance Minister Wolfgang Schaeuble described as "very intense discussions," Treasury Secretary Timothy F. Geithner ended a two-day European trip meant to smooth out differences in how the major economies are approaching financial regulation in the wake of the recent crisis. It is not clear how much progress he made.
Schaeuble, defending a German approach that has become more unilateral in tone and substance, said that Germany had "done its national homework" before adopting a ban on certain types of stock trading, known as naked short selling. The ban, announced last week, surprised U.S. and European officials, who were expecting cooperation over such decisions.
Sort of like the fair value argument, what's good for the US isn't good for everyone else and we can no longer pretend as though that statement is true. We've allowed our dollar superiority complex to cloud our judgment and then we send asshats like Geithner to Europe to represent us? Yeah that's not doomed or anything.
See also Geithner: US, Europe broadly agree on reform via the AP.