09/09/2011 World Business Report

international 8 for flood victims. Those are the latest headlines.

Time now for the latest money news. The World Business Report.

Welcome to World Business Report. What does Barack Obama's job

package mean for ordinary Americans?

How to avoid another economic downturn. That is the question of

finance ministers from the G7 will discuss when they meet in Marseille.

Our inflation fears over in China? -- are a.

President Barack Obama took the unusual step of addressing both

houses of Congress last night and imploring lawmakers at to pass a

new jobs bill. The $450 billion proposal is heavy on tax cuts and

includes an extension of an employer benefits for those art of

work. He called on Congress to pass the measures immediately, saying

were that the question was whether politicians could stop the

political circus and do something to help the economy.

I am sending Congress a plan you should pass right away. It is

called the American jobs that. There should be nothing

controversial about this piece of legislation. Everything in here is

the kind of proposal that has been supported by Democrats and

Republicans, including many that City tonight. Everything in this

bill will be paid for, everything. To the analysts agree with that

you? This is still the debate. Before and $50 billion he is

talking about will mainly be spent on tax cuts for employers and

workers and infrastructure projects -- the $450 billion. He says none

of that will add to the soaring deficit. But that is dependent on a

committee that has been brought together to look at the deficit.

That will be rather not known. The White House has steered clear of

saying what exactly the results of the spending would be. They got

burnt with the last stimulus package. $800 billion at the start

of the economic recession. Now all we have is one independent a

columnist for saying it will probably add about 2 million jobs

and bring down the unemployment rate by about 1%. That is if

Congress actually passes all of this plan. The House of

Representatives is not dominated by Devin Gales -- Democrat.

Republicans control the lower house, Democrats control the Senate and

the White House. But there has been an acrimonious battle over the

summer over raising the borrowing limit of America. It almost push

the United States to the brink of defaulting on its debt. That is

really the debt of the division between the two parties. Can they

really come together? Barack Obama said again and again - he repeated

it at nauseam - that politicians must come together and act now with

the situation with jobs -- desperate situation. It needs to be

done ahead of the presidential elections 14 months away.

measures brought in now would take time to take effect. There is one

thing that everyone it appears unified on. The jobless rate is

really central to solving the problem. We have 14 million

Americans out of work and those are just the ones that are counted.

Also the long-term unemployment problem is really coming to the

fore. People who have lost their jobs and have been unemployed for

months and years. That length of unemployment is incredibly damaging.

Ben Bernanke has talked about it. You are seeing Americans out of

work for more weeks then -- in a row at then any previous downturn.

Find dance ministers from the G7 nations meet for a summit in

Marseille -- finance ministers. Over the past month fears of a

recession have wiped billions of international markets. What can the

G7 nations do can -- to revise their economies?

Earlier this week trade unions in Italy held a general strike against

austerity measures. At the same time the world financial traders

were being more disruptive, wiping billions of dollars of stir up --

stock market values. Stock markets had been struck by the same fear.

Back government austerity measures are leading economies drive. It is

those same of financial traders there been hammering at government

bonds. What can the G7 nations due to spur growth without hiking

public spending? The USA and Britain, with tarrying deficits and

interest rates at rock bottom, have little room to manoeuvre. But what

about the G7 economies whose countries -- economies are motoring

again? They could try and absorb some of the exports of countries

with a problem on the trade balance. None -- like Germany and Japan.

Germany is saying there is no way to escape from a slowdown. It is

something that needs to be accepted because the alternative is to let

public debt grow indefinitely. The markets would love it if the G7

invented some way to revive flagging economies while still

cutting budget deficits. This will not have that -- happen.

The eurozone crisis at and economic slowdown in it the Europe -- Europe

and the US has been one concern. Another concerned is the inflation

rate in China. Consumer prices. The headline price in August was 6.2%.

The prize in of July was 6.5%. That was the highest in years. The most

recent figure is a sign that the central bank's policies are

starting to take effect. Some are saying that inflation has peaked in

China. That may be the case. We will have to see in coming months.

We will have to see our prices for things like pork and vegetables

fair at in autumn. Beijing says that controlling prices is its top

priority. Higher food prices had a large impact on demonstrations in

the Arab Spring. We will have to see how successful trying to stop

inflation will be. The US Congress has given final

approval to an overhaul of the US patent system. The new law it is

aimed at bringing US patents more in line with international policies.

It will help to clear a huge backlog of patent applications.

Legal issues will delay a merger between two car companies. Analysts

were not surprise at the decision. Companies say they are

investigating other ways of creating an integrated Auto Group.

I would just quickly show you what has been happening on the market.

The European markets bouncing back a bit there. The hope is that in

Marseille the nation's will come up with some coordinated response to

this renewed economic slowdown. There are some doubts as to whether

they have the firepower to do that. European markets are ahead of that.

So more news from around the UK. The leader of the UK Independence

Party will attempt to woo Conservative voters in a speech at

his party's annual conference today. He is expected to accused the

Tories of deceiving voters with unfulfilled promises about the

European Union. A proposal for an English

parliament. He tried to lift his party and attract new supporters.

The air are vast numbers of supporters of the Conservative

Party who feel let down by David Cameron. Not as breaking a promise

to give a referendum but signing us up to European policy. Today he

accused the Conservatives of deceiving voters. But UKIP emerged

from the maybe it -- May elections with just a handful of councillors.

One leader defected to the Conservatives. Another called on

the party leader to resign. They have still not patch up relations

with this man -- woman. She was expelled last year. But you keep

still has a clutch of MPs -- MEPs and the privileges that can bring,

like the space in this office. For a long time they have wondered how

they can turn European success into success in English elections.

Coming up Colin Breakfast. All that and more with Charlie and Susanna

from 6am this morning. These are the top stories.

President Barack Obama has announced a jobs creation scheme

worth around $450 billion. In a speech to a rare joint system of

Congress he said he wanted to jolt the stalled economy of America. He

repeatedly urged opponents to pass the Bill straightaway. The Speaker

has said the proposals of the President merited some

consideration. The mayor of New York said he is

aware of specific and credible terrorist attacks on the

anniversary of 9/11. He said the threat had to be taken seriously.

Police seem to be concerned about a vehicle based bomb. Numberplate

recognition scanning technology. The search of lock-up garages

across the city. All of that suggest what they are on alert for

is some kind of plot involving a vehicle or a track as per the

attempted attack in Times Square last year. On his first trip to

Tripoli since the civil war a Libyan leader has announced that