Britain called for consideration of a global tax on financial transactions to insure against another crisis, and urged world finance officials meeting Saturday in Scotland to agree on bearing the cost of fighting climate change, AP reported. British Prime Minister Gordon Brown told finance ministers from the Group of 20 rich and developing countries it was time to consider a global financial levy, such as a tax on transactions or an insurance fee, that could support a «resolution fund» that could serve as a buffer against future bailouts. The finance ministers and central bankers are trying to find a way to make good on a pledge by world leaders at their September summit in Pittsburgh to subject their economic policies to the scrutiny of a peer review. That process would determine whether each country"s efforts were «collectively consistent» with sustainable global growth. The goal is to avoid repeating problems like huge trade deficits and credit-fueled consumption in the U.S., and massive trade surpluses and savings in China and elsewhere. China"s appetite to fund U.S. debt by buying Treasuries was seen as playing a major role in fueling the U.S. housing boom and subsequent collapse. -- SPA
