World Trade - February 2009 - (Page 48)

REGION: EUROZONE needed. In normal times, monetary rather than ﬁscal policy would be the instrument of choice for macroeconomic stabilization. But these are not normal times. Infrastructure investment is often mentioned as a desirable instrument for stimulus. While it will boost both supply and demand, provided the investments are well chosen, infrastructure investment typically takes a long time to be brought on stream and, once begun, is difﬁcult to wind down in line with a recovery in activity. Alternatives, such as tax cuts or transfer payments aimed at creditconstrained, poorer households, might prove more effective in boosting demand. Once there are clear signs of a recovery taking hold, it will be necessary to begin promptly to unwind the macroeconomic www.transportlogistic.de stimulus in place to prevent inﬂationary pressures from gaining a foothold. At the same time, with high public debt in many OECD economies, it will be equally important that a credible ﬁscal framework is in place to ensure long-run public ﬁnance sustainability, especially in the face of spending pressures associated with population ageing. Moreover, the now global scale of the ﬁnancial crisis underscores more than before the necessity for international co-ordination to avoid measures that distort competition or effectively shift the problem to other countries. Individual countries may find The global scale of the ﬁnancial crisis underscores more than before the necessity for international coordination. The world’s leading trade fair for transport and logistics. Discover what is moved around the world. } Presence of market leaders and top decision-makers } Global innovations and trends } Presentation of the entire value chain } Top-level concurrent programme of conferences, forums and country-speciﬁc lectures Be there to meet who’s who in the industry: at the world’s largest trade fair for logistics, telematics and transport. Register now on www.transportlogistic.de/register including connecting business Messe München GmbH Messegelände D-81823 München Tel.: (+49 89) 9 49-1 13 68 info@transportlogistic.de 12 – 15 May 2009 New Munich Trade Fair Centre 12th International Exhibition for Logistics, Telematics and Transport it difﬁcult, acting on their own, to unwind the exceptional measures that are currently needed, again pointing to the need for cooperation. Reform of ﬁnancial market supervision and regulation is clearly necessary to build a more resilient ﬁnancial system. I welcome, in particular, the commitment of the G20 to continue furthering multilateral co-ordination to overcome the immediate problems facing the global economy and to strengthen the international ﬁnancial architecture over the medium term. The reform agenda is comprehensive and the many complex issues involved will take time to address. It will be important, therefore, to remain focused on the objective of strengthening the global ﬁnancial architecture. While substantial government intervention to support ﬁnancial markets has proven necessary because of their systemic importance, back-pedaling on open and competitive markets would prove very costly. In this respect, a quick, successful completion of the Doha Round would contribute to supporting world growth, boost confidence, and demonstrate a commitment to competitive and open markets. WT Klaus Schmidt-Hebbel, a national of both Germany and Chile, was appointed Chief Economist of the OECD in April, 2008 after previously serving with the World Bank and the Central Bank of Chile. 48 WORLD TRADE FEBRUARY 2009 WTM02094TranLog.indd 1 1/15/09 9:56:39 AM http://www.transportlogistic.de http://www.transportlogistic.de/register http://www.transportlogistic.de

Table of Contents Feed for the Digital Edition of World Trade - February 2009

World Trade - February 2009 Contents Taking Stock in America Confronting Corruption in Latin America Supply Chain Watch Tradewinds Where's the Goods? Where's the Money? Hope on the Horizon Managing Fleets in Turbulent Times The Impact of China's Economic Slowdown on U.S. Supply Chains The Fuel Volatile Supply Chain Getting the Most from On-the-Fly Transactions Managing Supply Chain Risk by Managing China Sourcing Capacity OECD Global Economic Outlook for 2009 'Natural' Agricultural Monopolies No More

World Trade - February 2009

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