Thursday, September 3, 2009
Decrease Exports to Rebuild
Just about every nation struck by the economic recession believes that the prime way to start the process of regrowth is to export. Of course this is a highly valid way of stimulating the economy, however the problem is that when everyone wants to focus on exporting, no one imports and no one wins. A former World Bank economist claims that the only way to exit the recession is for the nations at the center of the problem to be among the first to emerge. In this sense Asia might have to cut back on its exports while the United States increases their's if we are going to get out of this. Europe and Asia seem to slowly be getting back on track, now that France, Germany and Japan have joined the bandwagon, now we just have to wait for the U.S. to get climb on.