Financial reform activist Robert Bixby says the biggest problem for the American economy is the country’s political system.

“Political dysfunction in this country is a bigger threat than economic dysfunction.”

Federal Reserve Chairman Ben Bernanke says the country does not have to be this way. He has been urging lawmakers to provide leadership.

“Such uncertainties will only be increased by discord and delay. In contrast, cooperation and creativity to deliver fiscal clarity, in particular, a plan for resolving the nation’s longer-term budgetary issues without harming the recovery could help make the New Year a very good one for the American economy.”

Bruce Stokes is an economist at the Pew Research Center. He says if the economy does not improve, many nations will be affected.

“There’s an old saying that if we get the sniffles, the rest of the world gets a cold and so if we end up going to a recession as well, I think everybody is going to suffer.”

As one year ends and a new one begins, the world is watching President Obama and congressional leaders. Many people want to know how America’s political leaders will move to cut the budget deficit while protecting the economy.