Business

The article points out on reasons why world trade is experiencing swings yet again after recovering from 200708 economic meltdown. According to World Bank and IMF statistics, trade volumes and volume of exports showed a sharp V- shaped growth on last three quarters of last year.

Two reasons have been suggested that seem to spoil the improving trade. First, there was a slowdown in the pace of recovery towards the end of 2009. The trade expansion rate declined from 5.4  in September to 1.4  and 1.1  in November (the economist, 2010).  Secondly the growth in trade volume of sophisticated goods from industrialized countries has been overtaken by exports of basic consumer goods. Growth in demand recent has come from developing nations such as china who are now demanding more of consumer goods.

The article paints out the clear picture of what is happening in the world of exports and imports. The world business is presently recovering from economic meltdown of 2008 that left business activities at stand still. Its undeniable that the emerging nations such as china and India are the reason behind the expanding global demand in recent years and any change in demand by these nations would harm global trade.

The results from the article will give all nations involved in international trade a new direction in which to follow and address areas which need changes. For instance, it seems industrialized nations are been affected negatively by shift in demand from developing markets, hence this article will help them restructure their production.  

My major concern on report given in this article is fear of another downtown in world trade as experienced in two years ago. Last years continues decline in trade volume growth rate from 5  to 1  in span of three months is alarming. My wish is too see government taking economic policies that would stimulate consumption and hence expansion in trade.