AI News about global imbalances

Industrial policies, global imbalances, and technological hegemony

Industrial Policy Fuels Trade Imbalances, Study Warns A new framework reveals how industrial policies in surplus nations create global trade imbalances, particularly affecting high-tech sectors. Researchers argue that countries experiencing the "Second China Shock" should adopt their own industrial and innovation policies to compete. The analysis suggests trade deficits warrant serious policy responses beyond traditional approaches.