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Exhibitions

Executive Talks

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Interview with Milad M Istefanous, Executive Director of Philomina Global Services Co. Ltd.

Interview with Milad M Istefanous, Executive Director of Philomina Global Services Co. Ltd.

Philomina Global Head office located at Khartoum City that is well known, and having branches @ Port Sudan (Seaport City), and our modern office systems and all staff to give excellent services to our potential customers and worldwide associates.

Interview with Filipe Garcia, Branch Manager of Inicio transitarios Lda

Interview with Filipe Garcia, Branch Manager of Inicio transitarios Lda

Since the year 2000 INÍCIO TRANSITÁRIOS has been dedicated with total commitment to the creation of door-to-door transport solutions, regarding maritime and air logistics, on an international basis.

Interview with Ken Zhu,of Coeffort (Shanghai) Logistics & SCM Co., Ltd

Interview with Ken Zhu,of Coeffort (Shanghai) Logistics & SCM Co., Ltd

Coeffort was established in January 2015, core business of Coeffort is supply chain management and provide professional solutions, including supply chain financing, supply chain design, procurement and distribution, international customs clearance agent, executive stock trusteeship, Department of outsourcing, outsourcing processing and distribution management, supply chain services. I hope our business can do for customers "time Save", "money Save", "way touching One".

Interview with Arturo Chavez, Commercial Manager  of Smart Logistics Group

Interview with Arturo Chavez, Commercial Manager of Smart Logistics Group

SMART LOGISTICS GROUP is a premier transportation and logistics company, with coverage in SPAIN/EUROPE. Our value-added services portfolio includes import and export freight management, truck brokerage, intermodal, load/mode and network optimization, and global visibility. We provide freight forwarding, customs brokerage, warehousing and all other logistics services.

Interview with Ordan Cargo, Managing Director of Ordan Cargo Ltd

Interview with Ordan Cargo, Managing Director of Ordan Cargo Ltd

We are " ORDAN CARGO LTD" a freight forwarding & logistics company based in Tel Aviv, Israel since 2001 having presences at all main ports ASHDOD/HAIFA/TLV for Import/Export/Cross SEA/AIR. We provide excellent and creative logistics solutions as well as quality service with competitive prices.

How Trade Can Reinforce Income Inequality

Source:carnegieendowment    2014-5-9 9:34:00

For over one hundred years, economists have understood the economic consequences of income inequality. They have worked out how, under differing specific conditions, income inequality can foster either unemployment or growth. They also understand how international trade distributes unemployment, even at times forcing countries into beggar-thy-neighbor policies. By the 1890s, for example, John Hobson in England and Charles Arthur Conant in the United States, the former what Americans today would call a liberal and the latter a conservative, had largely worked out the consequences of income inequality in ways that accorded fully with contemporary experience and historical precedents.

Income inequality is such a contentious topic, however, that it is still hard to separate myth from reality, even though the consequences that economists have fleshed out over the last century follow from basic economic identities. Ordinary people consume a larger share of their incomes than do the wealthy, so rising income inequality reduces the consumption share of GDP, which automatically forces up the national savings rate. The strongest argument in favor of allowing and even encouraging income inequality has always stressed inequality's positive impact on savings.

A similar form of income inequality occurs when businesses or states retain a growing share-and households a declining share-of GDP. This phenomenon has been especially noticeable in Germany and China over the past fifteen years as both countries have forced down the household share of GDP by implementing policies aimed at making domestic businesses more competitive in international markets. These policies, intentionally or unintentionally, have also forced down the consumption share of GDP, raising savings rates.

Rising income inequality and a declining household share of GDP, together referred to as "repressing household income," both increase national savings rates. But an increase in the national savings rate is not the only consequence of these forces.

Savings must equal investment. If repressing household income causes the savings rate in one part of the economy to rise excessively (a "savings glut"), logically it must also cause the investment rate to rise or the savings rate elsewhere to decline (or some combination of both).

How can repressing household income cause investment to rise? If productive investment had been previously constrained by low savings, the answer is obvious. By increasing savings, repressing household income will foster more investment in productive projects. More productive investment benefits everyone, even if it benefits the wealthy more. This model is generally known as trickle-down economics.

In many undeveloped economies, productive investment may indeed be constrained by low savings. This is why developing countries often either turn to foreign savings to fund growth, as Argentina did in the 1990s, or repress consumption by reducing the household income share of GDP, as China did more recently.

Developed countries, however, generally do not face a savings constraint. If they fail to fund all productive investments, it is for other reasons-political gridlock, for example, or the difficulty of capturing externalities. For these countries, the higher savings associated with repressing household income will not result in more productive investment.

Former chairman of the Federal Reserve Board Marriner Eccles even suggested that during the 1930s, repressing household income reduced productive investment. "By taking purchasing power out of the hands of mass consumers," he wrote in Beckoning Frontiers, "the savers denied to themselves the kind of effective demand for their products that would justify a reinvestment of their capital accumulations in new plants."