Posted on March 15, 2017 by iMFdirect
By Rabah Arezki and Akito Matsumoto
Versions in عربي (Arabic), Русский (Russian), and Español (Spanish)
In November 2014, the Organization of Petroleum Exporting Countries (OPEC) decided to maintain output despite a perceived global glut of oil. The result was a steep decline in price.
Two years later, on November 30, 2016, the organization took a different tack and committed to a six-month, 1.2 million barrel a day (3.5 percent) reduction in OPEC crude oil output to 32.5 million barrels per day, effective in January 2017. The result was a small price increase and some price stability. Continue reading
Filed under: Economic research, IMF, Investment, oil, trade | Tagged: Algeria, IMF, iMFdirect blog, infrastructure, investment, Iraq, Kuwait, Libya, Nigeria, oil, oil exporters, oil prices, OPEC, Russia, Saudi Arabia, shale oil, UAE, United States | Leave a comment »
Posted on March 3, 2017 by iMFdirect
Author and innovation guru, Alec Ross says that technology is shaping the industries of the future.
“Ninety percent of the world’s data has been produced in the last two years. In fact, if you take the sum of all the information produced by human kind—from paintings on cave walls—to the year 2003, the sum of that data we now produce every two days.” Continue reading
Filed under: commodities, IMF, technology, trade, U.S. | Tagged: Alec Ross, business, data, digital economy, IMF, IMF podcasts, iMFdirect blog, industry, innovation, technology | Leave a comment »
Posted on February 28, 2017 by iMFdirect
By Camilla Lund Andersen
Deep unease about rising inequality and stagnating living standards in advanced economies was at the heart of the 2016 political upheaval. Globalization and trade have been blamed, but entrenched slow growth—what economists call secular stagnation—may be the real culprit. Parents who took for granted that their children would enjoy a brighter future had their dreams dashed by the global financial crisis of 2008. Nine years later, rising populism and a return to nationalist, inward-looking policies threaten to unravel the postwar economic order. Continue reading
Filed under: Advanced Economies, developing countries, Emerging Markets, Globalization, growth, IMF, Inequality, trade | Tagged: economic growth, Finance & Development. F&D, GDP, global financial crisis, Globalization, IMF, iMFdirect blog, income distribution, inequality, nationalism, population aging, population growth, populism, secular stagnation, trade, youth | Leave a comment »
Posted on February 24, 2017 by iMFdirect
“If we’re fighting each other because we can’t design a system that actually works for everybody, then working people will again continue to mistrust our institutions, and the threat to democracy is very real; you see it.” – Sharan Burrow
Burrow is General Secretary of the International Trade Union Confederation, and in this podcast she says collective action is needed to help better distribute the benefits of growth. Continue reading
Filed under: Gender issues, Globalization, IMF, jobs, labor force, trade, unemployment, wages | Tagged: employment, gender, Globalization, growth, iMFdirect blog, infrastructure investment, ITUC, jobs, Labor, labor force, Sharan Burrow, trade, unemployment, wages, women, youth unemployment | Leave a comment »
Posted on January 31, 2017 by iMFdirect
By Rabah Arezki
Agriculture and food markets are plagued with inefficiencies that have dramatic consequences for the welfare of the world’s most vulnerable populations. Globally, farm subsidies amount to over $560 billion a year—equivalent to nearly four times the aid given to developing countries by richer ones. Major emerging-market nations have increased subsidies rapidly, even as rich nations cut theirs drastically. Meanwhile, tariffs on farm products remain a major point of contention in global trade talks.
One third of global food production goes to waste, while food insecurity is still rampant in developing countries. Even with the explosion of agricultural productivity since the middle of the 20th century, food security remains a challenge for much of the developing world. Food-calorie production will have to expand by 70 percent by 2050 to keep up with a global population that’s forecast to grow to 9.7 billion from last year’s 7.3 billion. Food insecurity can lead to violence and conflicts that can spill over well beyond borders. Continue reading
Filed under: Africa, Asia, China, commodities, developing countries, Emerging Markets, Globalization, IMF, India, International Monetary Fund, Investment, natural disasters, poverty, trade | Tagged: agriculture, Farm Subsidies, Food Insecurity, Sub-Saharan Africa | Leave a comment »
Posted on December 21, 2016 by iMFdirect
Terms of trade is the price of a country’s exports relative to its imports. The commodity terms of trade refers to a country’s commodity exports relative to its commodity imports.
When the price of commodities, like oil, plummeted in 2015, economies that rely on exporting commodities had their terms of trade drop by an average of about 10 percent of GDP that year. Economies that rely more on importing commodities saw about a 2 percent of GDP benefit from the 2015 drop in prices. Continue reading
Filed under: commodities, Economic research, IMF, International Monetary Fund, oil, trade, U.S. | Tagged: commodity exporters, commodity importers, commodity prices, GDP, IMF, iMFdirect blog, oil, trade, World Economic Outlook | Leave a comment »