This book could go down as one of the most elegant job writing the story for the top job at the IMF. It comes to the renewal of the world economy – well and clearly written, inspiring, anecdotal and quite self-critical. Just a pity that its findings were formulated too often only as working hypotheses and thus appear rather academic.
Brown is convinced that it is the economies will succeed only through global cooperation and coordination. In this way will achieve a growth level in the coming years that exceeds the current assumptions. Let us suppose that a globally binding and this is a new mechanism for crisis. Such an instrument would allow an active and transparent monitoring. For example, it can be modern investor networks, in which creditor countries to engage in an open dialogue, provide greater visibility and control.
The world economic problems for Brown structural in nature are related to the need to boost consumption, consumer-spending decline. A return of strong global demand levels for him without global growth plan is not possible. Americans need to increase the opportunities for their people and to invest more in education and training. China should make social protection of its workers and affordable housing for the people cheaper.
In addition to the land reform, the lending practices of its banks, and open the world’s market for financial services. India and the Asian economies need to invest more in developing its infrastructure systems that enhance the quality of education and skills and better control debt and deficits. Russia’s two-class society with financially strong state and weak private sector can only through diversification away from oil and gas through a program of economic reform and hope for a sustainable higher growth level that is independent of volatile raw materials.
Finally, the author gives the advice to invest more abroad than ever to increase savings or consumption in their own country. Please refer to Brown, son of a Scottish pastor, ultimately the social component. Social and economic issues are inextricably linked. “In the 21st Century need to market and state support of ethical standards”, he writes.
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