Obama: Strong US economy key to global recovery

[November 10, 2010]  SEOUL, South Korea (AP) -- President Barack Obama said a strong, job-creating economy in the United States would be the country's most important contribution to a global recovery as he pleaded with world leaders to work together despite sharp differences.

Arriving in South Korea on Wednesday for the G-20 summit, Obama is expected to find himself on the defensive because of plans by the Federal Reserve to buy $600 billion in long-term government bonds to try to drive down interest rates, spur lending and boost the U.S. economy. Critics say the move will give American goods an unfair advantage.

In a letter to G-20 leaders, Obama defended the steps his administration and Congress have taken to help the economy.

"The United States will do its part to restore strong growth, reduce economic imbalances and calm markets," he wrote. "A strong recovery that creates jobs, income and spending is the most important contribution the United State can make to the global recovery."

Obama outlined the work he had done to repair the nation's financial system and enact reforms after the worst recession in decades. He implored the G-20 leaders to seize the opportunity to ensure a strong and durable recovery.

"When all nations do their part -- emerging no less than advanced, surplus no less than deficit -- we all benefit from higher growth," the president said in the letter.

The summit gets under way on Thursday. The letter had been sent on Tuesday.

[Associated Press; By ERICA WERNER]

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