Shocks in sentence

1003 examples of Shocks in a sentence

Third, the countries that actually have experienced localized asset-market shocks – such as Russia and Ukraine after Russia’s annexation of Crimea and incursion into Eastern Ukraine in 2014 – are not large enough economically to affect US or global financial markets.

As a result, emerging economies are increasingly wary of running large deficits, and are placing a higher priority on maintaining a competitive exchange rate and accumulating large reserves to serve as insurance against shocks.

Moreover, the franc-zone countries that are small and produce no oil prefer to pool their reserves in order to reduce their vulnerability to external shocks.

It is a useful in a context of overall stability; but, especially during crises or in the aftermath of large shocks, there are sharp movements of relative prices.

But the oil-price shocks that came after 1973 were in part also a response to the major industrial countries’ monetary policy in the later 1960’s and early 1970’s.

Larry Summers, now the highly influential director of President Barack Obama’s National Economic Council, concluded as a young economist that “financial and monetary shocks are less important sources of depression than we had suspected.”

In September, the always sharp and thoughtful Nouriel Roubini of New York University attributed this trend to positive shocks to aggregate supply – meaning the supply of certain goods has increased, driving down prices.

Meanwhile, the US Federal Reserve “has justified its decision to start normalizing rates, despite below-target core inflation, by arguing that the inflation-weakening supply-side shocks are temporary.”

In my view, interpreting today’s low inflation as a symptom of temporary supply-side shocks will most likely prove to be a mistake.

In fact, it took three large adverse supply shocks for expectations to adjust.

Despite these shocks, central bankers, chiefly then-Fed Chair Arthur F. Burns, were hesitant to commit to achieving price stability.

In fact, to say that it had a substantial slope even in the 1970s requires one to avert one’s eyes from the supply shocks of that decade, and attribute to demand outcomes that are more plausibly attributed to supply.

By focusing on checks and balances, the US Constitution’s framers created a kind of safety valve for the political system, meant to protect it from unexpected shocks arising from any of its many moving parts.

In short, the global economy is experiencing a sustainability crisis, in which resource constraints and environmental pressures are causing large price shocks and ecological instability.

Finally, building resilient health-care systems – flexible enough to bend, but not break, in the face of shocks – means improving other public goods that are closely linked to human health.

On the contrary, unlike today’s middle-aged workers, for whom shocks like the Cultural Revolution nurtured pragmatism and wariness, China’s younger generation are optimistic about the future.

The record suggests that an adequate growth program needs to be anchored in two strategies: an investment strategy designed to kick-start growth in the short term, and an institution-building strategy designed to provide an economy with resilience in the face of adverse shocks.

It also requires effort to build four types of institutions required to maintain growth momentum and build resilience to shocks:Market-creating institutions (for property rights and contract enforcement);Market-regulating institutions (for externalities, economies of scale, and information about companies);Market-stabilizing institutions (for monetary and fiscal management);Market-legitimizing institutions (for social protection and insurance).

A sustained and marked decline in government debt (relative to GDP) would be welcome news for those of us who equate high indebtedness with the kind of fiscal fragility that reduces the government’s ability to cope with adverse shocks.

And, while last year’s sharp price drop was heavily influenced by two large supply shocks, the current decline also has an important demand dimension.

As the Nobel laureate economist Robert Mundell and others spelled out in the 1960’s, relinquishing nominal exchange rates emphasizes three alternative mechanisms to cushion regional adjustment: inter-regional fiscal transfers, intra-union migration, and, most importantly, labor markets capable of adapting to shocks.

Macro-prudential policies are not a substitute for sound macroeconomic policies; nonetheless, they are essential to preventing large asset bubbles and distortions in financial markets, and thus to reducing the risk of adverse shocks to both markets and the real economy.

Since then, Turkey has focused on financial stability and structural reforms, which have strengthened economic performance and made the country more resilient to shocks.

A Flock of Black SwansCAMBRIDGE – Throughout history, major political and economic shocks have often occurred in August, when leaders have gone on vacation believing that world affairs are quiet.

Many of these shocks constituted events that had previously been considered unthinkable.

Nowadays, a eurozone breakup has become one of the most widely discussed possible shocks.

When the crisis struck, the economies of the eurozone periphery were buffeted by the twin shocks of spiking risk premiums and a collapsing housing market.

And in Mexico, structural reforms to increase competition in the telecommunications and electricity sectors, alongside other policies, have curbed inflation and boosted resilience to external shocks, and are expected to help return the country to a primary budget surplus.

American consumers are shopped-out, saving-less, debt-burdened (136% of income, on average), and buffeted by many negative shocks.

For some countries, this is currently the only viable option, but over the long run this dependence can mean higher energy costs and vulnerability to price volatility and supply shocks.

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