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Strategies & Market Trends : The Financial Collapse of 2001 Unwinding

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To: Haim R. Branisteanu who wrote (2406)5/6/2019 12:45:15 PM
From: elmatador1 Recommendation

Recommended By
Snowshoe

   of 13784
 
What was the trade boom?

Loading raw materials to Asia, manufacture there and ship back to the west.

Market conditions do not appear to favour a renewed trade boom.

In all advanced economies, income is well below pre-crisis trend lines.

There is no sign the US, the best of a bad lot, wants to – or should – resume its role as the global consumer of first resort. China’s economy, the world’s main motor since the crisis, is cooling.

What the article does not say is that:
The trade boom was nothing more that the Asian population demographic dividend.

Demographic dividend ending, trade fuelled boom ends


and the article continues

Trade-led growth is the most successful development strategy the world has seen.

Trading in value-added goods and services has improved resource allocation within countries’ economies, from Japan to Brazil, Botswana to Malaysia.

In developing countries, tradable activities tend to be much more productive than the rest of the economy. As a result, getting people and capital out of subsistence work and into firms dealing in tradable goods and services tends to make for a more productive economy overall.


Can countries still trade their way out of poverty?

theguardian.com
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