On January 29th, a group of Business and Economics students attended a talk hosted at Birmingham University on the financial crisis and the changing shape of the world economy by David Smith.
David Smith has been Economics Editor of the Sunday Times since 1989 and also runs the website EconomicsUK.com. He is the author of well known reading books such as ‘Free Lunch ‘and ‘The Dragon and the Elephant.’
The lecture went into great detail about the worldwide fiscal crisis and the decline of the global GDP, and then focussed on the decidedly poor recovery from the currently advanced economies in comparison to the new found prosperity for the emerging BRIC economies.
The most interesting part of the lecture was the insight into the monetary challenges facing Europe and the potential routes EU members can take to recovery as opposed to the current stop-start recovery.
The lecture ended with a discussion about whether the current advanced economies can ever regain their hold over the world economy or whether the global GDP centre of gravity is cyclical and will eventually return.
By Aminah Mehboob L6th Economics Student