Great Trade Collapse

The Great Trade Collapse, a consequence of the 2008 financial crisis, occurred between the third quarter of 2008 and the second quarter of 2009.[1] During this time, world GDP dropped by 1% and world trade dropped by 10%. This drop in global trade was synchronized[2] across almost every country in the world. Researchers cite three main reasons for the collapse: sudden drops in demand and supply, credit constraint, and a stifled global value chain.

See also

References
  1. The Great Trade Collapse: Causes, Consequences and Prospects by Richard Baldwin in 2009
  2. The Great Synchronisation: tracking the trade collapse with high-frequency data by Joaquim Oliveira Martins and Sónia Araújo in 2009
This article is issued from Wikipedia. The text is licensed under Creative Commons - Attribution - Sharealike. Additional terms may apply for the media files.