Globalizing or Decoupling – a myth?
Posted by LeGianT on June 23, 2008
The decoupling debate
Mar 6th 2008 | HONG KONG
Could recession spread from America?
“DECOUPLING” is the source of a great deal of controversy. Economists argue about whether or not emerging economies will follow America into recession. The most pessimistic claim that as economies have become more intertwined through trade and finance, this should make business cycles more synchronised, not less. The slide in emerging stockmarkets on Wall Street’s coat-tails appears to endorse their view. Yet recent data suggest decoupling is no myth. Indeed, it may yet save the world economy.
Decoupling 1: Emerging Asia
An independent streak
Jan 24th 2008 | HONG KONG
Some investors fear that America’s weakening economy will drag down Asia.
Decoupling 2: Japan
Unable to fend for itself
Jan 24th 2008 | TOKYO
Japan’s export-led economy still relies heavily on America
Presentation by Mr. Ayhan Kose
Research Department – IMF