After almost the entire citizen says in a survey last year that the US economy is moribund and almost a third of them have claimed that there personal finances is getting worse, the future seems bleak for a revival this year.

The impending global finance crisis will not exempt the recuperating US economy. Financial turmoil in the developing countries will make the US market shrink and incapable of converting its export goods and services into revenues as the markets have no purchasing power to buy these imports. This will then result to another crisis in the US economy. Retrenchments of workers and cost cutting measures will likely to happen as corporations will be tightening its spending to augment its losses.

Moreover, foreign fiscal loans to stabilize the economy would result to increasing debts and the apparent depreciation of the dollar which will result to the fall of the value of the local and offshore stocks and assets. In short, economic chaos is inevitable.

What is to be done? First, developed countries like the US should make a contingency fund for the developing countries to finance the immediate bailouts from imminent economic collapse. Second, direct foreign investments and dollar credit lines should be maintained and must encourage an agreement with the host economy to have sustaining measures for mutual interests. Third, exports of the developing countries should be have free and clear access to the economy as encourage by the guidelines of trade globalization espoused by GATT-WTO so that in return these developing countries can buy imports from the US manufacturers. Transparency in the market is the principal instrument of regulation that the trader countries can rely.

If the US financial analysts consider these options, there is a great possibility that the world finance market can offset the effects of the looming economic recession in the US soil and the economies of the developing countries.