Whose Economy Has It Worst?

Which leaves the U.S. No one can restore confidence in America's long-term fiscal health without a credible plan to cut spending on entitlements and defense during raising earnings, which are now at a 60-year low as a share of GDP. However don't expect any immediate solutions from Washington. The campaign season will only exacerbate petty partisanship and political gridlock, which means that the structural problems of the U.S. economy are likely to persist.

But the longer-term future appears much brighter for the U.S. than for either Europe or China. America is on the whole the leader in the kind of cutting-edge innovation that expands a nation's long-term economic potential, from renewable energy and medical devices to nanotechnology and cloud computing. Over time, these advantages will yield more robust economic growth.

A retired Olympus director is joining calls for the return of ousted chief executive Michael Woodford, in the first sign of disaffection with management from inside the company.

The Obama administration is quietly working to counter potential risks posed by foreign telecommunications companies' expansion in the U.S. market.