A diverse confluence of events last week could not have made it more apparent how much the global and South African economic outlooks are ultimately dependent on policymakers getting the good cop-bad cop mix right.
On the geopolitical and trade front, the Brexit can was kicked down the road until Halloween, and the US unexpectedly threatened the EU that it would impose tariffs on $11bn of EU goods, a reminder that trade wars are not off the table. Gopinath says things have changed “quite dramatically” in one year, leaving the world economy in a precarious position, with many downside risks to its already pretty gloomy prognosis. These include trade tension flareups, a no-deal Brexit, macroeconomic policy missteps, cyber attacks on financial infrastructure and geopolitical tensions in the Middle East.
In discussing the pros and cons of cyclical policy changes versus structural policy reforms, Old Mutual Wealth economist Dave Mohrstructural reforms typically have a short-term economic cost as the economy adjusts to the new environment and resources shift around. To do this successfully, a growing economy is needed otherwise the structural reforms may be reversed as the pain becomes too much
However, therein lies the challenge: achieving the right balance of good cop-bad cop policies, with short-term, cyclical policies fostering growth but not creating long-term macroeconomic imbalances and policymakers still gaining headway by implementing structural reform that pays off in the long-term.
In addition to this, the world’s second-largest economy has managed to reduce exports as a percentage of GDP from 32% in 2008 to 18.2% in 2018. It has also begun the shift from an economy dependent on overinvestment to one that is consumption-led, he says. The risk, as always in China, is the potential for politically-motivated reversals in these structural reforms.
Berita ini telah kami rangkum agar Anda dapat membacanya dengan cepat. Jika Anda tertarik dengan beritanya, Anda dapat membaca teks lengkapnya di sini. Baca lebih lajut:
Indonesia Berita Terbaru, Indonesia Berita utama
Similar News:Anda juga dapat membaca berita serupa dengan ini yang kami kumpulkan dari sumber berita lain.
Business Maverick: Activists Push South Africa Pension Funds Over Climate CostsPension funds in South Africa have a legal obligation to account for the financial effects of climate change on their investments, according to two groups lobbying money managers to pay closer attention to the issue.
Sumber: dailymaverick - 🏆 3. / 84 Baca lebih lajut »
Business Maverick: South Africa’s Rand Held Back by Political Uncertainty, IMF SaysPolitical uncertainty is probably depressing the value of South Africa rand, according to the head of the International Monetary Fund’s Africa department.
Sumber: dailymaverick - 🏆 3. / 84 Baca lebih lajut »
BUSINESS MAVERICK: Africa is being left out of the digital tax loopIt’s a tricky issue. Tech companies are able to operate internationally very effectively, zooming down fibre optic cables from their tax havens. Should they be taxed in a different way? It’s now a leading topic on the global agenda, and African tax experts are hustling to join the discussions. Governments around the world have proposed varying solutions. Africa, however, is not necessarily happy with the progress, but potential solutions are out there. Very interesting piece DURITZ79
Sumber: dailymaverick - 🏆 3. / 84 Baca lebih lajut »
Business confidence at lowest level this year on back of election uncertaintyBusiness confidence is at its lowest level this year, according to the South African Chamber of Commerce and Industry's latest business confidence index.
Sumber: News24 - 🏆 4. / 80 Baca lebih lajut »
Vuwani residents conflicted about voting - SABC News - Breaking news, special reports, world, business, sport coverage of all South African current events. Africa's news leader.People don't trust you hence you develop your pockets and your families only!
Sumber: SABC News Online - 🏆 32. / 51 Baca lebih lajut »
Thousands of South Africans approved to vote at foreign missions - SABC News - Breaking news, special reports, world, business, sport coverage of all South African current events. Africa's news leader.But we are being KILLED in their HOME country!
Sumber: SABC News Online - 🏆 32. / 51 Baca lebih lajut »
Rescued flamingos back in Kimberley - SABC News - Breaking news, special reports, world, business, sport coverage of all South African current events. Africa's news leader.%Scores of flamingos rescued earlier in 2019 are back in Kimberley in the Northern Cape. Hundreds of others were saved from Kamfers Dam and flown to Cape Town, Durban and Pretoria for rehabilitation.%
Sumber: SABC News Online - 🏆 32. / 51 Baca lebih lajut »
Ramaphosa appoints SABC Board - SABC News - Breaking news, special reports, world, business, sport coverage of all South African current events. Africa's news leader.President Cyril Ramaphosa has signed and appointed the eight SABC board candidates, more than three weeks after the National Assembly passed a resolution for the President to appoint the candidates. So he succumb to pressure. wow... political leaders appoint media CEO's in S.A.? here in the states its vice versa, the CEO's line the pockets of the politicians... Thabang_Kgwete Finally
Sumber: SABC News Online - 🏆 32. / 51 Baca lebih lajut »
Ramaphosa arrives in Alexandra Township - SABC News - Breaking news, special reports, world, business, sport coverage of all South African current events. Africa's news leader.African National Congress (ANC) president, Cyril Ramaphosa has arrived in Alexandra Township, North of Johannesburg where he is expected to address residents who have been protesting over housing, crime and waste management among other.
Sumber: SABC News Online - 🏆 32. / 51 Baca lebih lajut »
Passed DA motion worries ANC - SABC News - Breaking news, special reports, world, business, sport coverage of all South African current events. Africa's news leader.The African National Congress (ANC) says it is concerned that a motion praising the Democratic Alliance (DA) run Western Cape government for its achievements was passed in the National Assembly without objections. Freaking idiots.
Sumber: SABC News Online - 🏆 32. / 51 Baca lebih lajut »