Typical street scene in Santa Ana, El Salvador. (Photo: iStock)
December 11, 2009
As countries begin to emerge from the global financial crisis, they face new challenges, including unemployment, which in many cases continues to climb.
F&D magazine examines how countries, individuals are reacting as world begins to emerge from global financial crisis (photo: Newscom)
AFTER THE GREAT RECESSION
The December issue of the IMF’s Finance & Development magazine looks at how countries and individuals are reacting.
The rest of the world is watching to see how Asia makes it way out of the crisis, and Archana Kumar interviewed five leading Asian voices on the region’s fragile rebound. Eswar Prasad discusses the rebalancing of growth in Asia toward domestic demand and away from exports—an important element of the global effort to stabilize the world economy. While the world is focused on finding a replacement for the newly frugal U.S. consumer as an engine of growth, there is a related worry: will those consumers save enough?
While the recession is resolving itself, unemployment—the “third wave” of the crisis—is still a serious concern in most countries. Hyun-Sung Khang looks at who is likely to be hardest hit by unemployment and how governments are responding. And to forestall future crisis, supervision of systemically important banks must be strengthened, an issue examined by S. Raihan Zamil, who also discusses how to decide whether to support foundering institutions or let them fail.
Key articles include
Crisis Contained
Archana Kumar
As Asia tentatively makes its way out of the global economic crisis, the region—and the world—watches and learns from its resilient, though far from invulnerable, journey. Five leading Asian voices share their views on the region’s fragile rebound.
Rebalancing Growth in Asia
Eswar Prasad
With the increasing importance of Asian emerging markets in the world economy, rebalancing growth in developing Asia toward more reliance on domestic demand and less on exports is an important component of the global effort to stabilize the world economy.
Surviving the Third Wave
Hyun-Sung Khang
After the financial and economic crises, a “third wave” is engulfing the labor market, leaving millions without work and changing the course of their lives. F&D looks at the people likely to be hardest hit, and investigates how governments are responding.
Rebuilding U.S. Wealth
Evan Tanner and Yasser Abdih
Although the world is focusing on finding a replacement for the newly frugal U.S. consumer as an engine of demand, there is a related worry. Will those consumers save enough to restore their net worth to precrisis levels and support sustained capital investment?
Too Big to Ignore
S. Raihan Zamil
Oversight of systemically important banks is a tricky proposition. Authorities must devise better regulations and supervision of these banks to forestall crises. And, if such an institution founders, they must decide how best to support it or let it fail.
