IDEAS home Printed from https://ideas.repec.org/a/sae/chnrpt/v45y2009i2p159-161.html
   My bibliography  Save this article

The Global Financial Crisis

Author

Listed:
  • Vladimir Portyakov

    (Institute of Far Eastern Studies, Russian Academy of Sciences, 32, Nakhimovsky Avenue, Moscow 117218, Russia. E-mail: portyakov@ifes-ras.ru)

Abstract

Basing itself on a recent International Monetary Fund survey, this comment concludes that the Brazil, Russia, India and China countries are likely to become the locomotive for economic growth in the world. Were the global financial crisis to last out for the next 1.5 year, though reduced, annual growth rates in China, India and Russia would continue to be 8.5, 6.3 and 3.5 per cent, respectively. Together, the three countries would still manage to contribute 2.2 per cent to the world growth. The author does not appear to be very optimistic about the Russia, India and China to formulate countermeasures but China had in addition to forex reserves, considerable foreign direct investment and its measures to boost domestic demand focused on infrastructure building. Russia as well needed to boost domestic demand to curb inflationary pressures. The worrying aspect was the prospect of social instability and all three countries had already faced this in the 1980s. Experts were divided as to whether unemployment was worse than inflation, but some kind of protectionist measures would have to be adopted despite the understanding that trade had to be promoted at any cost. However, the need to insulate the domestic market was critical at this time. Russia in addition had to contend with the decline in the prices of oil and gas and in devising strategies to deal with the crisis; the objective was to protect not the American interests but the Russian interests. The problems stemming from the sub-prime lending in the US was only a simplistic way of analysing the crisis.

Suggested Citation

  • Vladimir Portyakov, 2009. "The Global Financial Crisis," China Report, , vol. 45(2), pages 159-161, May.
  • Handle: RePEc:sae:chnrpt:v:45:y:2009:i:2:p:159-161
    DOI: 10.1177/000944550904500208
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/000944550904500208
    Download Restriction: no

    File URL: https://libkey.io/10.1177/000944550904500208?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:chnrpt:v:45:y:2009:i:2:p:159-161. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.