This book is based on the papers presented and discussions held at a high-level regional workshop organized by the Asian Development Bank in January 2010 to discuss the impact of the global economic and financial crisis on developing Asia. It provides a clear and thought-provoking analysis of the global economic crisis from the perspective of 19 Asian countries.
The papers present concrete ways in which Asian economies and financial systems can be made more responsive and resilient. The book proposes that Asian economies can capitalize on the global economic crisis by using it as an opportunity to move from crisis management to gradually assuming global economic leadership. It spells out a general framework for strengthening recovery efforts, ensuring inclusive growth and open regionalism, rebalancing Asia's growth model, and creating greater regional cooperation for a prosperous and resilient Asia.
This is perhaps the first ever book in the market to undertake an in-depth discussion about the impact and the long-term implications of the global financial crisis on economies in Asia.
Chapter 10: Lessons of the Crisis and Long-Term Implications: Reinforcing Resilience and Rethinking the Growth Model
Lessons of the Crisis and Long-Term Implications: Reinforcing Resilience and Rethinking the Growth Model
Post-Crisis Changes in the Global Economic Landscape
Key Changes in the Global Environment
We see the following key changes in the post-crisis global economy impacting Asia. Table 10.1 outlines how the drivers of economic growth are expected to change in the post-crisis global economy.
Table 10.1 Changing Drivers of Global Economic Growth
Implications of These Changing Drivers
The implications of these structural changes are assessed below:
Slower Growth in G3 Economies and Retrenchment of US Consumers for Several Years
Unwinding the Massive Policy Responses Unavoidable but Will Slow Growth
The fiscal cost of the crisis includes both the stimulus packages as well ...