Joint action is required to avert the collapse of the global economy

3/17/2016 0:00

Morning / Agencies
The IMF stressed his call for the need for joint action to prevent a global economic collapse, warning of the risk of the wrong policies.
Deputy IMF Managing Director David Lipton stressed that there is an opinion, "serious" growing is that policy-makers in the world support the economy have exhausted options or have lost their will to do so because of inflation that
Lipton said: Let's face it the leaders to increase their efforts, through the provision of financial and monetary stimulus, and the application of the necessary structural reforms to support global economic growth.
He pointed Lipton in a conference held by the National Association for Business Economics to fiscal policy - government spending and tax cuts - (must Ihtla the most important place in the policy), since the burden of increased growth rests on the advanced economies that have the financial room to maneuver.
He stressed that the (risk is clearly more than the previous, and became a joint action stronger than the need) to counter the damage that the crisis will drag on global markets and threaten a global economic recession.
The recent fund expectations as Lipton sees about growth has become more difficult with the complexities of the economic problems, and probably would be unworkable, due to weak global economies, and the worsening military crises and policies of spending, and the deterioration of the energy markets, and the crisis of migrants and refugees because of wars and conflicts, as well as the withdrawal of capital emerging economies and the sharp contraction that hit the World trade.

Dangers prices

Theses Lipton reveals the real problems, and complications may face the future of the global economy, he believes the size of these risks and their increase significantly, compared to the market will face crises deliberative, as the troubled financial markets and lower commodity prices raises fresh concerns about the health of the global economy, and the weakness of its ability to face any challenges
This is referred to, as he said: The decline and volatility in global stock markets is a reaction to the big concerns they face, as well as the economic policy-makers have found themselves in front of the narrow-mindedness, perhaps exhausted their options or perhaps lost their will to deal with these problems
The worsening of this crisis puts the major powers before the new realities of a political, economic and humanitarian dimensions, and even security, we can not afford that these countries have the ability spending on security, political and humanitarian files, and support for educational programs in many countries that suffer developmental problems, as well as that of these crises It will be reflected in many of the conflicts experienced by certain regions, including the Middle East, which could push the intersecting trends, including support for the violence to activate the arms markets, including also the inability to support this camp or the other allies, a Emasineks a lot of trenches
This horizon foggy does not mean the end of the day, and the development of countries in the world for a possible deterioration of their economies, but also calls for more anticipation, professional, and to the grandmother in dealing with the causes of these crises, including the political, as we often find political reason present in the synthesis of the problems here or there , which is actually what happened to the energy crisis, and the terrible decline in oil prices, support the major powers of the civil conflicts in many regions.
In this context, Lipton believes that the policies require a lot of realism and rationality, and (for the global economy's success in overcoming these crises has become imperative for the developed and developing countries to dispel this dangerous idea through to revive the spirit of bold action and cooperation that characterized the first years of the recovery efforts) and warning countries of protectionist trade policies and resorting to weaken the currency to strengthen growth, saying that these methods (make the weakest countries in the long term), he says, and thus impair their ability to respond to crises.