tag:blogger.com,1999:blog-5613349802102193582.post2611962731547131062..comments2023-12-22T23:56:04.826+11:00Comments on Houses and Holes: Links Oct 11: Decoupling my buttDavid Llewellyn-Smithhttp://www.blogger.com/profile/01762856583909059662noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-5613349802102193582.post-75741341110309642882010-10-11T09:41:07.903+11:002010-10-11T09:41:07.903+11:00Uren says:
The US and Europe face large and pers...Uren says:<br /><br /><i>The US and Europe face large and persistent falls in their output, relative to pre-crisis levels. Demand will fall way short of supply.<br /><br />...<br /><br />Demand for imports of consumer durables and investment goods will also be sharply lower, and this will hurt emerging economies that previously depended on the US and European consumer.<br /><br />Despite their healthy growth, the emerging economies are not expected to offset the loss of advanced economy demand.<br /><br />The IMF does not expect any growth in the domestic market demand of developing Asian economies -- indeed their savings rates are tipped to rise.</i><br /><br />But the US trade deficit has blown out again, as has the Chinese surplus, and Germany is apparently going gangbusters thanks to booming exports.<br /><br />So where the hell is the demand coming from?The Loraxnoreply@blogger.com