Saturday 10 July 2010

CHINA, INDIA AND THE WORLD ECONOMY

The Star

CHINA, INDIA GROWTH BUFFERS?

Yvonne Tan

The Star, July 10, 2010

Asian economies credited for global economic rebound but may be affected by eurozone debt crisis.

The failure of US banks in 2008 left the global economy particularly the Western economies in tatters. And just as a global rebound was making some substantial headway, economies were hit with the eurozone debt crisis this year.

Asian economies with huge domestic bases like China and India were largely responsible for pulling the global economy out of recession last year.

In fact, some economists estimate that the two fast-growing economies collectively contributed half of the global economic rebound.

Can they continue their growth trends? Experts seem to think so albeit at a slower pace and without being completely shielded from what is going on in the eurozone.

In its latest report on the outlook of the world economy, the International Monetary Fund (IMF) said the large domestic demand bases in nations including China and India “could provide a cushion to growth” in the event of external demand shocks emanating from Europe.

Let’s take a look at how some of these major world economies are faring.

(...) [artículo aquí]

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