Cutting the federal deficit is seen as essential for reviving the country's economic standing. CFR's Peter Orszag looks at some of the pros and cons of recommendations by a presidential commission's co-chairs to cut more than $3.8 trillion from national deficits.

GOP election gains make it less likely Congress will enact needed deficit cuts and more fiscal stimulus, and the Fed's quantitative easing plan could create new bubbles, says CFR Distinguished Visiting Fellow Peter Orszag.

The Republican gains in Congress mean complications for President Obama's arms control policy, a stalled climate change agenda, possible movement on trade, and likely more support on Afghanistan, says CFR President Richard Haass.

Despite global tensions over China's currency and trade policies, U.S. businesses stand to benefit from China's waning labor surplus and its growing consumer affluence, says Princeton University's JC de Swaan.

The eurozone fiscal crisis has led many EU members to discount the benefits of European integration, but the bloc is likely to muddle along and focus on inward relations while bonds with Washington weaken, says CFR's Stewart Patrick.

Foreign policy is taking a backseat to the economy in the midterm elections, says CFR's James Lindsay, with issues like START, immigration, and trade on hold.

Pakistan's floods spell setbacks for the U.S. fight against extremism and its war effort in Afghanistan, says CFR's Daniel Markey. He says beyond humanitarian aid relief, Washington must focus on boosting Pakistan's economy through greater trade opportunities.

The international response to Pakistan's flood disaster has been inadequate so far, says Richard Holbrooke, U.S. special representative to the country. He says Washington is contacting international governments and is sending more aid, including helicopters to assist in relief efforts.

Sanctions have weakened Iran, but expert Hossein G. Askari says the country's leaders continue to muddle through, in part because of popular support for uranium enrichment--the cause of mounting global pressure.

Washington's new sanctions against North Korea, focusing on international financial institutions and banking systems, are likely to have more impact than trade sanctions, says North Korea economic expert Marcus Noland.

U.S. President Obama and British Prime Minister Cameron share the predicament of leading an unpopular war in Afghanistan at a time of swelling debt, says CFR's Charles Kupchan, who adds that the economic crisis has linked Britain and the continent more closely.

The latest round of UN and U.S. sanctions on Iran are unlikely to push Iran to negotiations, says sanctions expert Meghan O'Sullivan, which means the U.S. and its allies will need to look at options including military force, among others.

In the wake of the Gulf spill, the United States should craft regional pacts with its neighbors to address pollution and liability issues arising from ever deeper oil and gas exploration, says expert Caitlyn Antrim.

The Obama administration has overreacted to the Gulf oil spill by suspending most new offshore drilling and moving to expand liabilities for future accidents, with implications for U.S. energy security, says Jack Coleman, an energy industry official and legal expert.

CFR's Stephen Sestanovich says Russian President Dmitry Medvedev's meetings in Silicon Valley represent the most interesting development of his U.S. trip, which culminates with a Washington summit where a host of issues will be discussed, including the new START treaty.

By ending the yuan's peg to the U.S. dollar, China will deflect pressure over its currency policy at the upcoming G20 meeting. But tensions will persist over the pace of reform, says CFR's Steven Dunaway.

Sanctions may slow Iran's nuclear drive but won't halt it, says Iran expert Karim Sadjadpour, who calls for shifting to a containment policy that helps "expedite political transformation."

Mexican President Felipe Calderón's state visit to Washington could highlight immigration concerns at a time of growing cross-border partnership on Mexico's drug war, says CFR's Shannon O'Neil.

Saving the European Union requires a plan to allow fiscally weak member countries to fail, as well as painful lifestyle changes and some loss of national sovereignty, says the Centre for European Policy Studies' Daniel Gros.

Debt restructuring and longer-term eurozone reforms will be needed to contain Europe's sovereign debt problems and restore European stability and prosperity, says CFR's Marc Levinson.