We found a match
Your institution may have access to this item. Find your institution then sign in to continue.
- Title
Interpreting the world trade collapse.
- Authors
Domit, Silvia; Shakir, Tamarah
- Abstract
World trade's dramatic collapse from the end of 2008 was emblematic of a globally synchronised recession that threatened to become a depression and of a financial crisis painfully transmitted to the real economic. The extent of the fall in world trade relative to that in world GDP and the subsequent strength of the trade recovery so far suggests particular factors have been affecting global trade flows. This article considers the possible reasons for the pronounced fall and recovery in world trade relative to world GDP, focusing on UK export demand. At its core, the extraordinary decline in trade stemmed from the combination of a shock to global demand skewed towards highly tradable sectors and the ever-more globalised production process for these goods. The encouraging improvement in world trade from the second half of 2009 can also be attributed to some of these factors, as well a~ suggesting that permanent damage to the global marketplace may be less extensive than first feared.
- Subjects
UNITED Kingdom; INTERNATIONAL trade; FINANCIAL crises; GROSS domestic product; EXPORTS; GLOBALIZATION
- Publication
Bank of England Quarterly Bulletin, 2010, Vol 50, Issue 3, p183
- ISSN
0005-5166
- Publication type
Article