Monday, February 9, 2009

Davos Economic Forum

The World Economic Forum holds an annual meeting in Davos Switzerland that usually highlights globalization and the increase in international trade. However this year the discussion was not about increasing trade but by how much trade was going to contract. Current projections are that trade is going to decrease by 2.8% in 2009… a huge number considering trade grew by 4.1% last year in the midst of an economic downturn. The hope is that this will not lead to economic nationalism and the breakdown of trade networks. This would have a disastrous effect on overall economic development as emerging markets rely on exports to fuel their economic growth.

http://www.cfr.org/publication/18429/gloomy_portents_for_global_trade.html?breadcrumb=%2F

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