Global savings

Essay specific features

 

Issue:

Miscellaneous

 

Written by:

Evelyn W

 

Date added:

January 1, 2016

 

Level:

University

 

Grade:

A

 

No of pages / words:

4 / 927

 

Was viewed:

1843 times

 

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Essay content:

Also we see increasing fiscal deficits, very low real interest rates and low inflation. The Euro appreciated vs. USD, creating loss of export competitiveness that added up to a weak demand. The yen has been down in real terms (to avoid deflation). Therefore, most of the countries (specially Asia and specifically China) are using this surplus to lend money to the US, thus making the US both borrower and spender of last resort (to finance mainly US consumption, its current account deficit and to some extent its fiscal deficit)...
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The Euro appreciated vs. USD, creating loss of export competitiveness that added up to a weak demand. The yen has been down in real terms (to avoid deflation). Therefore, most of the countries (specially Asia and specifically China) are using this surplus to lend money to the US, thus making the US both borrower and spender of last resort (to finance mainly US consumption, its current account deficit and to some extent its fiscal deficit)...
displayed 300 characters

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