Does the Global Trade Slowdown Matter?
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Global trade boomed during the 20 years leading up to the Great Recession, but it has since fallen so far that it trails the global GDP growth rate. At the same time, trade has become less responsive to changes in GDP, causing some experts to fret that reduced trade could impinge on productivity growth. Economists Cristina Constantinescu, Aaditya Mattoo and Michele Ruta offer a fresh approach to investigating the link between exports and economic growth. Their esoteric analysis may make for painful reading for investors anticipating good news as well as for noneconomists seeking more accessible prose. getAbstract suggests their scholarly report to economists, policy makers, analysts and executives.
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About the Authors
Cristina Constantinescu, Aaditya Mattoo and Michele Ruta are economists at the World Bank.
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