China and the world economy: a European perspective

Jean Pisani-Ferry discusses the emergence of China as a key economic and global player from a European perspective. Looking ahead, this paper focuses on two key aspects, the rebalancing of global growth and the strengthening of global governance, and explains how these will shape Sino-European economic relations. The author argues that now is the time for high-quality dialogue between policymakers from both sides. China and the European Union must overcome their institutional differences to pave the way for fruitful economic cooperation.

What international monetary system for a fast-changing world economy

Though the renminbi is not yet convertible, the international monetary regime has already started to move towards a 'multipolar' system, with the dollar, the euro and the renminbi as its key likely pillars. This shift corresponds to the long-term evolution of the balance of economic weight in the world economy. Such an evolution may mitigate some of the flaws of the present (non-) system, such as the rigidity of key exchange rates, the asymmetry of balance of-payments adjustments or what remains of the Triffin dilemma. However it may exacerbate other problems, such as short-run exchange rate volatility or the scope for â??currency warsâ??, while leaving key questions unresolved, such as the response to capital flows global liquidity provision. Hence, in itself, a multipolar regime can be both the best and the worst of all regimes.Which of these alternatives will materialise depends on the degree of cooperation within a multilateral framework.

The World Economy and Economy of Regions

The educational discipline is intended to acquaint students with the structure and peculiarities of the the modern world economy and regional economy functioning, the basic principles of the world economic space development and the interaction of national economies in the world economy. The main objective of the discipline «The World Economy and Economy of Regions» is to form a system of theoretical knowledge in the field of analysis of socio-economic systems and models of the world’s countries development, acquirement the theoretical knowledge and practical skills to analyze tendencies and processes that occur during the economic development of the world’s countries, identifying relationships and assessing the impact on the process of regions integrating into the modern world economy, identifying the features of the individual national economies development and their role in the in world economic relations

The world economy [June 2003]

The world economy has weakened slightly further again this quarter. This is primarily due to weaker economic data at the end of 2002 and for the first quarter of 2003. The expectation is for activity to strengthen in the latter half of 2003 and for GDP growth to intensify in 2005 relative to 2004. The factors that have stabilised the world economy are the relative pick-up in global equity markets, the re-alignment of currencies (this may lead to an improvement in imbalances in the world economy) and oil price stability, although the fall in oil prices is smaller than was expected. Clearly the situation in Iraq has resolved according to the US plan and this has reduced uncertainty significantly. Despite this the West still has to be vigilant to any terrorist threat. The economic consequences of the war however are relatively minor

The world economy [October 2006]

Growth in the world economy is still relatively strong, although US growth has slowed slightly. Inflationary pressures are clearly more visible than previously and the general trend for global monetary policy is for a tighter stance. Prices continue to be driven by energy prices, although there are few signs of this feeding through into wage bargains. Japan and China once again have performed strongly in the East while the Euro Area has shown significant improvements. There is still some concern over the pace of private consumption growth in Germany. The outlook for the world economy is still optimistic over the next two years

The world economy [July 2005]

One of the most important developments at the end of 2004 was the depreciation of the effective exchange rate of the dollar by 4.5 per cent on the previous quarter and the rise of the Euro effective exchange rate by 7.2 per cent. The world economy is still adjusting to this and growth has slowed slightly in the main economies

The world economy [March 2006]

It would be tempting to say that all is rosy in the world economy with relatively strong growth and stable inflation. However inflation is rising across the globe but the impact of the rise in oil prices on wage inflation is weaker than expected. The effect is slightly more pronounced however in the US where unemployment is relatively low compared to Europe which has higher unemployment. This suggests that monetary policy will be more likely to be tightened in the US than elsewhere. It is probable that deflation in Japan will end this year and China and Asia are set to perform strongly despite rising oil prices. These economies have experienced strong export growth but increasingly the balance is shifting as domestic demand is driving these economies forward

The world economy [October 2003]

The most recent economic data suggests that the recovery is strengthening in the US and the Asian economies (excluding Japan) but is weaker in the Euro Area and Japan. Global domestic demand remains relatively weak but is expected to pick up in the second half of this year. There are mixed signals from consumer confidence measures with some remaining weak while others are showing signs of improvement. The labour markets also demonstrate mixed performance. The unemployment rate fell in the US but so did the employment rate. Oil prices have remained flat but there is little evidence to suggest that the world economy is experiencing any significant inflationary pressures. There are clear signs however from central banks that interest rates will have to rise shortly. While the hostilities in Iraq were brought to a rapid conclusion there is now more concern over "guerrilla warfare" from disaffected Iraqis and opposition groups. This is not only potentially destabilising for the Middle East but adds to the uncertainty in the world economy

The world economy [December 2003]

The world economy is now picking up with strong growth in the US and the Far East economies. Europe remains relatively weak and since the last quarter has worsened slightly. It is not expected to improve until next year with a return to trend growth forecast for 2005. The forecasts for world growth and trade have both improved since the last quarter. The outlook for the world economy remains good. The downside risks are the uncertainty over terrorist attacks in the west, the size of the US deficit, and the continued weakness in Europe

The world economy [July 2007]

Growth in the world economy was 5.3 per cent in 2006 driven largely by the US (3.3 per cent), China (10.7 per cent) and India (close to 9.0 per cent). Euro Area growth was 2.8 per cent in 2006 compared to 2.2 per cent in Japan