Question

In the external sector ehich of the following issues are required to be dealt with?

Answer 1

Explanation:

The world economy witnessed a sharp upturn in 2004, on account of robust growth in both advanced and emerging market economies. Global output is projected to grow by 5 per cent in 2004, the highest in nearly three decades. Economic activity rebounded strongly in advanced economies with the growth impetus emanating from upbeat performances by the United States (US) and Japan.

Among emerging market economies, the Commonwealth of Independent States (CIS) and developing Asia continued to add stability to the overall process of global expansion and consolidation (Table 6.1). 6.2 The US economy was once again the prime determinant of global growth among the G-3 (US, Japan and the Euro area), despite indications of a slight slowdown during the later part of 2004.