Someone posted that there was an International forum of trading...

Someone posted that there was an International forum of trading nations in 2006 to work out solutions to the credit crunch. I cannot see why they couldn't have come up with a solution.

Maybe I'm overlooking something but if all trading nations made a pact to simultaneously reduce interest rates wouldn't this stimulate growth and avoid a recession? If only one country such as the USA does it alone it creates inflation for that country and we get the disequilibrium we are presently experiencing. A downgraded correction of the base rate would give room for increased rates to protect against inflation without causing defaults in mortgage. However it woul take ALL countries to agree and this may be the sticking point. If world governments really wanted to maintain economic growth they do have the power to do so!