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Robert Zoellick, former World Bank president, on eurozone leaders meeting to attempt to strike a seven-year budget deal.
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Appreciate that I just -- our attention to Europe new developments bringing the Euro crisis.
Back into the spotlight ECB president Mario drug is comments on the Euro sparking a sell off in that currency and global stocks this is EU leaders opened two days of objects folks good luck on that.
Who better -- to talk about or this than -- World Bank president Bob Zoellick.
Now with the Peterson institute for international economics he joins us by phone and thank you so much for that Bob.
Let me just say you took spot just very recently in a conference it Munich.
Where it was stated that let the Euro zone is already falling behind the US -- major in terms of economic growth and competitiveness.
I guess my question is can the Euro zone -- in its present form and doesn't have the will power to do what it needs to do to make the changes.
-- I believe the eurozone.
Will survive.
And die if anything it's situation is somewhat stabilized but I think one of the factors -- create these story today was that the value of the Euro was going up some point.
And this led to some concern by -- president -- -- France and others.
-- it might make the Europeans less competitive in the global economy.
So I don't think that Mario Draghi -- trying to signal anything in particular.
But he chose this sensitivity needed these issues now where people are concerned about competitive devaluation.
How important is -- for the US and the EU to get a trade deal done is being talked about but it seems as though the administration.
-- -- little hesitant and actually.
Going Ford and signing some sort of agreement why is that.
What I don't think the Obama administration has been very active in the trade area -- Past with direction of the congress three free.
Pre trade agreements that were done by the Bush Administration.
Say you're exactly right there been hints about negotiating something which Europe.
The president hasn't committed maybe that will come up in the state of the union.
But so far -- on the European side there's a lot of questions about whether the United States is serious.
People would like it because it's a good way to make structural reforms without having to spend money -- monetary policies.
But it does take political commitment by the president.
You talk about -- new international economic strategy for the US have a number of points you make Bob one of those.
You say the US needs to break the logjam on opening markets working on adding these free trade agreements on how difficult -- that -- Well frankly I don't think the United States under President Obama is made it into much of a priority.
And I think that will be one other question is for the second term.
There's a lot of interest in opening -- service sector that's where the US is very competitive.
That would be part of the -- reforms in Europe.
There's a lot of emerging market countries including China that this will help -- productivity.
The administration has talked about a trans Pacific initiative but it's been very -- about what it would do it'll put up to US markets.
So at -- time that there's a lot of discussion about fiscal and monetary policies.
Trade and structural reforms could be the basis for growth.
But it does require a political impetus from the top.
-- something that we have not seen -- all right.
Thank you so much Bob Zelnick Libya Peterson institute for international economics thanks for joining -- -- for a pleasure.
Right well former Fannie -- official warns of Federal Housing Authority could be moving closer to a massive bail out AIG's it intends hearing next but let's let's take a look at some of today's winners and losers and Dow off 62 points -- out some winners on the NASDAQ.
And -- they articulate we'll be right back.
