The US economy in debt crisis, Europe is desperate for a bail out! In these situation one would think Hey! What about Asia? Will it be hit with Recession 2011.
The more i dread to say this, the more the facts reveal. Asia countries will face the worst slump ever, if in case Recession 2011 happens.
Holy Cow! This is Highly Impossible
Yep, People are finding it hard to believe Asia will be hit with Recession 2011. Lets consider the facts below.
1 ) Asia economy highly depends on US-Europe economy, if US economy dips, Asian countries bleed [in stock markets]
2) Asian Countries are just a reflect of American markets. Asian Countries such as China, India, Pakistan, Philippines earn a huge income via deal and contracts with American companies. So, if America fails, Asia fails.
Moreover, S & P [the agency that degraded America from AAA to AA plus] has predicted in a statement, “If a renewed slowdown comes, it would likely create a deeper and more prolonged impact than the last one.”
S & P continued, “The implications for sovereign creditworthiness in Asia-Pacific would likely be more negative than previously experienced, and a larger number of negative rating actions would follow. We wait to see.”
Citing the uncertainty in Global Markets, S & P added, “In this scenario, the experience of the global financial crisis of 2008-2009 shows that export-dependent economies with large exposures to the U.S. and/or Europe would feel the most pronounced economic impacts.”
“It’s not likely things would be very different this time.”
The nightmares of Recession 2008 is not yet over, a new Recession is on the corner. With more unprepared nations , finding it hard to handle Economy slump, High Cost living, Fuel hike, Unemployment, i believe if Recession 2011 indeed happens, then we would witness the worst age in the history of Earth!