Recession in America: Talking about America’s economy and recession, President Joe Biden while talking to reporters in Tokyo said that recession in America keeps coming and going but its pain will be for some time. He said that the current situation in America has arisen partly due to Russia’s invasion of Ukraine, but it cannot be said with certainty that a recession is coming.
Addressing a press conference in Tokyo, he acknowledged that the US economy has problems but is in a better position than other countries in the world. He said that the problems which we have here are the same problems in the rest of the world but if we look at the rest of the world, we have a better situation here and its effect is less.
He acknowledged that American households are being hit by supply shortages and high energy prices. Biden said his government was working to ease the suffering of American consumers, but added that an immediate solution was not expected. He said that it will take some time for the situation to recover.
New relations will begin between America and Japan
US President Joe Biden will launch a new Indo-Pacific trade deal on Monday, designed to signal America’s commitment to the region and address the need for trade stability due to the pandemic and Russia’s invasion of Ukraine. Has gone. The White House has said the new Indo-Pacific trade agreement will help US and Asian economies work more closely on a variety of issues, including supply chains, digital trade, clean energy, employee safety and anti-corruption efforts. However, its provisions have yet to be agreed upon among member states, making it difficult for the administration to explain how the agreement can fulfill its promise to help American workers and businesses while meeting global needs. The names of the signatories are to be announced on Monday during Biden’s visit to Tokyo for talks with Japanese Prime Minister Fumio Kishida. It is the latest step taken by the Biden administration to preserve and broaden US influence in a region where Chinese influence has increased in recent years.
First visit to Asia after becoming President
Biden is in the middle of a five-day visit to South Korea and Japan. This is his first visit to Asia after becoming the President, which will end on Tuesday. In October 2021, the White House announced plans to build a new economic framework to replace the ‘Trans-Pacific Partnership’, which the US canceled in 2017 during the regime of then-President Donald Trump. The new agreement is taking place at a time when the US administration believes it has a competitive edge with China. ‘Bloomberg Economics’ published a report last week, which put the growth rate of US gross domestic product (GDP) at around 2.8 percent in 2022 compared to China’s two percent. The economic slowdown has weakened the perception that China will soon overtake the US to become the world’s leading economy.
America moving faster than China
White House National Security Adviser Jake Sullivan said that the reality is that America will move at a much faster pace than China this year. However, critics say that the new trade deal has some shortcomings. It does not encourage potential partners by reducing exemptions or giving signatory countries greater access to US markets. According to critics, these constraints may not make the new trade agreement an attractive alternative to the Trans-Pacific Partnership (TPP), which has gone ahead despite the US withdrawal. China, the largest trading partner for many countries in the region, also wants to join the TPP.
Matthew Goodman, former director of international economics at the National Security Council in former President Barack Obama’s administration, said, “I think a lot of partners will look at the deal and say the provisions involved are pretty good.” We are glad to be involved in this. However, Goodman also said that such partners can also ask whether we are going to get any tangible benefits from entering into this agreement? Not only this, it is also possible for countries to be a part of both the trade agreements.
Biden is expected to meet Emperor Naruhito on Monday at his residence in the Imperial Palace complex. Before this, he will hold extensive talks with Kishida on trade, Russia’s invasion of Ukraine, North Korea’s nuclear threat, preparedness of both countries to deal with Kovid-19, among other issues.
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