President Obama’s "deferential diplomacy" cannot surmount fundamental transatlantic differences, as exemplified by the failure of a wider fiscal stimulus. ++ Demographic patterns dictate policy responses to the economic crisis. ++ The aging European countries, faced with a sooner "fiscal meltdown," guard against debt increase due to the stimulus packages. ++ However, it is the "G2 of China and United States" who will determine the course of the economic crisis. ++ A democratic China will be important for a more stable global economy.