After the 2008 crisis, China played a central role in the global recovery, achieving annual growth of around 12% by 2010. But this time, China’s post-crisis growth is more muted, and the increase in its trade surplus implies less support for the global economy it provided in the past. Will the European Union and the US enact recovery programmes of the magnitude needed to restore the global economy? Here, again, Biden could make a big difference by working with the leaders of creditor countries and reminding everyone that another global debt crisis would be in no one’s interest. With Biden’s leadership and some cooperation from congressional Republicans and other world leaders, there is a chance to navigate our way quickly through the covid-19 crisis.

Source: Mint December 31, 2020 17:03 UTC