Managing Complexity: Economic Policy Cooperation after the Crisis by

Language: eng
Format: azw3
Publisher: Brookings Institution Press
Published: 2016-01-25T16:00:00+00:00

Policy Cooperation Phase

Following the collapse of Lehman Brothers, the immediate challenge was to prevent the drying up of liquidity, as Julia Leung discusses in her contribution to this volume. In some countries where real economic activity had started to decline before the meltdown of Lehman Brothers, the crisis added another problem to the already problematic domestic outlook. Table 8-1 shows the evolution of real GDP from the precrisis quarter, in which activity peaked, to the quarter in which activity first exceeded its precrisis peak. In three cases—China, Indonesia, and Saudi Arabia—real economic activity did not contract but its rate of growth declined. The remaining seven cases—Argentina, Brazil, India, Mexico, South Africa, Russia, and Turkey—experienced contractions. The Russian and Turkish contractions were more severe relative to the others in the sense that it took longer to regain the precrisis peak level of economic activity, and the depth of the output loss from the precrisis peak to trough was greater. Even though the duration of the contractions was shorter and/or the output fall was relatively mild, the remaining five countries—Argentina, Brazil, India, Mexico, and South Africa—also witnessed significant output losses.

Download

Copyright Disclaimer:
This site does not store any files on its server. We only index and link to content provided by other sites. Please contact the content providers to delete copyright contents if any and email us, we'll remove relevant links or contents immediately.