links for 2010-04-10

Officials blame the $7.2bn deficit on rising volumes and prices of the raw materials the country needs to import to power its economy. The officials, who announced the figures at an economic conference in Hainan, say the deficit is likely to be a short-term phenomenon.

The chief accountant for the city of Los Angeles warned the mayor and City Council that the city will not be able to make payroll next month if it doesn't dip into its reserve fund. In a memo to officials, Controller Wendy Greuel on Monday said the city faces its most urgent fiscal crisis in recent history after the council blocked a proposed electricity rate hike last week.