you are currently viewing::WTO-Trade imbalances and the limits of trade policyJuly 31, 2025--Trade imbalances have long been a concern for policymakers, prompting calls for corrective trade measures. Recent tariff actions- framed in part as efforts to reduce bilateral deficits -fit this established pattern. Notable precedents include the United States-Japan trade tensions of the 1980s and the global imbalance debates following the 2008 financial crisis. The connection is not merely anecdotal: empirical research shows that trade imbalances, particularly at the bilateral level, are strong predictors of trade action. Interpreting trade imbalances From an economic perspective, trade imbalances are not necessarily problematic. Sectoral imbalances arise from specialization: a country with a comparative advantage in services may run a surplus in services and a deficit in goods. Aggregate imbalances, in turn, reflect differences between national saving and investment. If a country invests more than it saves, the additional investment goods must come from abroad. From this perspective, trade imbalances are not signs of dysfunction, but channels through which economies realize the gains from trade, across sectors and over time. While trade imbalances can therefore reflect healthy economic forces, they are not immune to policy distortion. Tariffs can alter sectoral trade patterns, reducing the deficit in a targeted sector at the expense of other sectors. They can also distort bilateral flows, narrowing the deficit with a targeted partner while widening it with others. Industrial policy, now central to many policy debates, can have similar effects. Long-run broad-based industrial policy intervention can significantly influence the allocation of resources across sectors, often promoting tradable manufacturing over non-tradable services. Source: World Trade Organization (WTO) |
December 31, 2025-ETFGI, a leading independent research and consultancy firm renowned for its expertise in subscription research, consulting services, events, and ETF TV on global ETF industry trends, reported Crypto ETFs listed globally suffered net outflows of US$2.95 billion in November according to new research by ETFGI.
December 30, 2025-ETFGI, a leading independent research and consultancy firm renowned for its expertise in subscription research, consulting services, events, and ETF TV on global ETF industry trends, reported today that assets invested in the Environmental, Social, and Governance (ESG) ETFs industry globally reached a new record of US$799.35 billion at the end of November.
December 29, 2025-ETFGI, a leading independent research and consultancy firm renowned for its expertise in subscription research, consulting services, events, and ETF TV on global ETF industry trends, reported today that assets invested in Thematic ETFs listed globally have increased by 49.6% in the first 11 months of 2025.
December 23, 2025-ETFGI, a leading independent research and consultancy firm renowned for its expertise in subscription research, consulting services, events, and ETF TV on global ETF industry trends, reported today that assets invested in the actively managed ETFs listed globally reached a new record of US$1.86 trillion at the end of November.
December 22, 2025-ETFGI, a leading independent research and consultancy firm renowned for its expertise in subscription research, consulting services, events, and ETF TV on global ETF industry trends, reported today that assets invested in the ETFs industry globally reached a new record of US$19.44 trillion at the end of November.
December 18, 2025-BlackRock Asset Management Canada Limited ("BlackRock Canada"), an indirect, wholly-owned subsidiary of BlackRock, Inc. ("BlackRock") (NYSE: BLK) is announcing that effective on December 18, 2025, the annual management fees of the following iShares exchange-traded funds ("iShares Funds") will change as follows:
December 18, 2025-Leverage Shares by Themes expand their offering with seven new single stock leveraged ETFs, available for trading starting December 18, 2025. These products are designed to empower investors to amplify returns (up and down) and actively engage with the performance of Nio Inc., Snap Inc., Baidu Inc., Centene Corp., KLA Corp., Petroleo Brasileiro, and Vale.
December 17, 2025-A comprehensive analysis based on innovation, firm, investment, skills, trade and policy data.
Abstract
Quantum technologies are moving from the lab to real-world impact, promising advances in computing, secure communications, and ultra-precise measurement. But who is driving this progress, and how is the global landscape evolving?
December 15, 2025-Global value chains (GVCs) have been resilient in the face of rising geopolitical tensions,financial uncertainty,climate pressures and the COVID-19 pandemic according to the GVC Development Report 2025 launched at the WTO on 15 December.
December 5, 2025-Bybit, the world's second-largest cryptocurrency exchange by trading volume has released its latest Crypto Derivatives Analytics Report in collaboration with Block Scholes, revealing cautiously optimistic signals in cryptocurrency markets following a volatile start to December.