In the context of"the world is undergoing great development,transformations,and adjustments,"the new trends in the world economy deserve more attention.This article gives a brief review of changes in interna...In the context of"the world is undergoing great development,transformations,and adjustments,"the new trends in the world economy deserve more attention.This article gives a brief review of changes in international trade growth,current account balances,international investment flow,effective interest rates,and relative growth rates of both developed and developing economies.It argues that the slowdown in external demands will continue for a long time,that countries may attach more importance to external markets and competition will intensify.In the course of economic globalization,China needs to focus on developing its domestic markets,devote itself to creating favorable social and economic institutional conditions to increase efficiency and constantly progress in endogenetic technology,and explore an upgraded system for international multilateral trade and investment.展开更多
The international dollar standard is malfunctioning. Near-zero US short-term interest rates launch massive hot money outflows into emerging markets （EM） in Asia and Latin America. Each EM central bank buys dollars t...The international dollar standard is malfunctioning. Near-zero US short-term interest rates launch massive hot money outflows into emerging markets （EM） in Asia and Latin America. Each EM central bank buys dollars to prevent its currency from appreciating but loses monetary control. Despite some appreciation, average inflation in EMs is now much higher than in the old industrial economies and world commodity prices are bid up sharply. This inflation on the dollar ＇s periphery only registers in the US CPI with a long lag. However, the more immediate effect of the Fed＇s zero interest rate is to upset the process of bank intermediation within the American economy. Bank credit continues to decline while employment languishes. Therefore, constructive international monetary reform calls for the Fed to abandon its zero-interest rate policy, which is best done in cooperation with the European Central Bank, the Bank of Japan, and the Bank of England also abandoning their ultra low interest rates.展开更多
文摘In the context of"the world is undergoing great development,transformations,and adjustments,"the new trends in the world economy deserve more attention.This article gives a brief review of changes in international trade growth,current account balances,international investment flow,effective interest rates,and relative growth rates of both developed and developing economies.It argues that the slowdown in external demands will continue for a long time,that countries may attach more importance to external markets and competition will intensify.In the course of economic globalization,China needs to focus on developing its domestic markets,devote itself to creating favorable social and economic institutional conditions to increase efficiency and constantly progress in endogenetic technology,and explore an upgraded system for international multilateral trade and investment.
文摘The international dollar standard is malfunctioning. Near-zero US short-term interest rates launch massive hot money outflows into emerging markets （EM） in Asia and Latin America. Each EM central bank buys dollars to prevent its currency from appreciating but loses monetary control. Despite some appreciation, average inflation in EMs is now much higher than in the old industrial economies and world commodity prices are bid up sharply. This inflation on the dollar ＇s periphery only registers in the US CPI with a long lag. However, the more immediate effect of the Fed＇s zero interest rate is to upset the process of bank intermediation within the American economy. Bank credit continues to decline while employment languishes. Therefore, constructive international monetary reform calls for the Fed to abandon its zero-interest rate policy, which is best done in cooperation with the European Central Bank, the Bank of Japan, and the Bank of England also abandoning their ultra low interest rates.
