Only Beijing can save the West

The Asian stock markets registered further losses today in reaction to the downgrading of the US's creditworthiness. The downward slide can only be stopped if the US accepts China's help, writes the liberal business daily Il Sole 24 Ore: "We are witnessing the chaotic decline of hundreds of years of Western dominance. Strangely, China is missing from all the proposals for preventing collapse. Beijing quite rightly insists on the importance of its role and is using the doubts about US creditworthiness to question the US dollar as the global reserve currency. As a result of the already existing and threatening state bankruptcies the EU is now paying for its mistake of not having consolidated its debt in time. European bonds would be far more secure than the bonds of individual states. Because Europe is the biggest market worldwide such securities would be a worthwhile investment for China."

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