Global Economic Changes Likely to Occur Over the Next Decade - Term Paper Example

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 This paper "Global Economic Changes Likely to Occur Over the Next Decade" focuses on the climatic changes, which results due to globalization and increased gasoline prices, are likely to create an economic crisis in the future. The paper discusses varied changes in the global economy…
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Global Economic Changes Likely to Occur Over the Next Decade
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Download file to see previous pages However, the current global economic environment is likely to contribute to a severe crisis over the next decades. This is because of the disruptive financial market chaos, which is slowing economic growth in advanced economies. Many emerging economies have made efforts of providing global resilience measures but this has set an explosion of food and gasoline price crisis. The next generation is under threat because the emerging and advanced economies are unable to adjust the current crisis. The trends in the global business cycle such as the emergence of internal growth momentum, failure to adjust to the price shock for commodities and shift in the financial shock absorbers are likely to create global economic challenges in the future. Although the federal will employ policies for reducing global economic issues, climatic changes due to globalization and increased gasoline prices are likely to create an economic crisis in the future.
The global economic environment is likely to experience varied changes that would take place over the next decade. First, new changes will occur because of the emergence of strong internal growth momentum in developing and emerging nations; thus providing the most trade shock-absorber across the globe. Many nations especially the emerging economies such as India, China, Malaysia, and some Asian Pacific economies as well as developed economies are transforming the global business cycle dynamics. The global trade shock absorber will make the U.S downturn steeper due to the support offered in the export sector by many developing nations across the globe (Callioni, 2010). Therefore, the issue arises in case the emerging economies such as India and China sustain in the internal momentum over the decades. This may impact emerging economies from achieving growth. This is because both financial and trade linkages continue to increase in the emerging economies as the emerging economies attempt to incorporate business activities in the global markets.   ...Download file to see next pagesRead More
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