Open AccessGlobal trade imbalance and economic crisis
Author(s) -
Branislav Pelevic,
Vladimir Vučković
Publication year - 2011
Publication title -
zbornik matice srpske za društvene nauke/zbornik matice srpske za društvene nauke
Language(s) - English
Resource type - Journals
eISSN - 2406-0836
pISSN - 0352-5732
DOI - 10.2298/zmsdn1137443p
Subject(s) - protectionism , financial crisis , international economics , economics , international trade , production (economics) , economic integration , capital (architecture) , trade barrier , business , macroeconomics , archaeology , history
Global trade imbalance is one of the factors of the ongoing economic crisis. Dependence of Western countries on capital from Asian countries created a supply of innovative financial instruments, which drawn the world into financial and economic crisis. After the crisis, international trade collapsed, with some specific features: trade declined faster than production, trade in equipment and durable consumer products plunged, international supply chains suffered. Future challenges are related to possible protectionism and wrong approaches for global rebalancing