Global Economic Challenges: Trade War USA vs Germany Presentation

This presentation examines the trade war between the USA and Germany, focusing on the economic challenges and the global landscape. The presentation begins by outlining the timeline and causes of the trade war, including the imposition of tariffs on steel and aluminum. It then identifies major economic sectors in both countries, highlighting their comparative advantages. The core of the presentation discusses current and potential global economic challenges, such as trade protectionism, global debt explosion, unemployment, high commodity price volatility, and currency fluctuations. These challenges are explored in detail, supported by references to academic research. The presentation emphasizes the interconnectedness of global economies and the impact of trade disputes on international trade and investment. The presentation provides a comprehensive overview of the economic implications of the trade war and broader global economic issues.

THE GLOBAL ECONOMIC
LANDSCAPE
PRESENT AND POTENTIAL ECONOMIC
CHALLENGES

TRADE PROTECTIONISM
 Protectionism limits the
international trade
 Many big countries have
imposed trade restrictions.
 The direct investment has
decreased.

GLOBAL DEBT EXPLOSION
 The global debt has
increased in the past few
years.
 Corruption in the
developing nations has
been the biggest
contributor.
 In ten years global debt
has increased by 100
Trillion USD

UNEMPLOYMENT
 Unemployment in bigger
economies have been on the
rise.
 Rates are huge in the
developing nations as well.
 Unemployment curbs
potentiality of the economy
and hence the international
trade.

HIGH COMMODITY PRICE VOLATILITY
 Price volatility hampers the
investment inflow.
 Volatility confuses the investors
and hence the investment
reduces.
 Recent volatilities in prices have
reduced investment leading to
a reduced trade.
 FDI inflow, globally, has
declined over the years.

CURRENCY FLUCTUATION
 Most of the nation has exchange rate pegged to the US
dollar.
 The turbulence in the US economy disturbs the global
economy and hence the international trade.
 Currency fluctuations hampers the investment decision
of the investor.

REFERENCES
 Dwyer, A., Gardner, G. and Williams, T., 2011. Global commodity
markets–price volatility and financialisation. RBA Bulletin, June, pp.49-57.
 Giddens, A., 2018. Globalization. In Sociology of Globalization(pp. 19-26).
Routledge.
 Godfrey, M., 2016. Global unemployment: the new challenge to economic
theory, 65(4), pp. 45-49.
 Levitt, T., 2013. The globalization of markets. Readings in international
business: a decision approach, 249.
 Nivola, P.S., 2012. The new protectionism: US trade policy in historical
perspective. Political Science Quarterly, 101(4), pp.577-600.
 Ruggie, J.G., 2017. Trade, protectionism and the future of welfare
capitalism. Journal of International Affairs, pp.1-11.
 Shapiro, A.C., 2015. Exchange rate changes, inflation, and the value of
the multinational corporation. The Journal of Finance, 30(2), pp.485-502.
 Støren, L.A. and Aamodt, P.O., 2010. The quality of higher education and
employability of graduates. Quality in Higher Education, 16(3), pp.297-
313