World trade has slowed sharply compared to global GDP growth since 2012. Is the slowdown in world trade due to cyclical factors, and sluggish investment above all others? Or is it due to more far-reaching structural changes, in which case world trade is unlikely to return to the vigorous growth rates observed from the mid-1990s to the mid-2000s.
Argentina’s economic policy has taken a more liberal turn since Mauricio Macri took power in November 2015. The new government’s first measures were mainly designed to shore up the country’s external liquidity and bolster its image in the eyes of the international financial community. This change of direction occurs at a time when the country has entered recession, inflation remains stubbornly high and the clean-up of public finances is only just getting underway. In the medium term, recent reforms could prove to be an effective way to attract non-resident and resident investment.
