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Shocks in sentence

1003 examples of Shocks in a sentence

On the revenue side, the degree to which federal taxation absorbs shocks at the state level cannot be very large for the simple reason that the main source of federal revenues that does react to the business cycle, the federal income tax, accounts for less than 10% of GDP.
It is thus clear that a eurozone unemployment insurance system would never be able to offset major shocks, such as those hitting Ireland or Greece, where GDP has shrunk by more than 10%.
The US “banking union” provides tangible insurance against local financial shocks.
Careful planning processes, including a strong national framework and effective monitoring, are needed to support such innovation and anticipate potential challenges and shocks.
Of course, Germany fails to recognize that successful monetary unions like the United States have a full banking union with significant risk-sharing elements, and a fiscal union whereby idiosyncratic shocks to specific states’ output are absorbed by the federal budget.
We are feeling the shocks each day in catastrophic floods, droughts, and storms – and in the resulting surge in prices in the marketplace.
It became an “optimal currency area” only in the 1930’s, when the federal government gained the power to ease asymmetric shocks, for example, by conducting fiscal transfers.
The British authorities believe that they are building a resilient global financial center that is capable of assuming big risks and withstanding large shocks – either home-grown or transmitted from abroad (that is, from the eurozone).
Outside of Asia, most developing economies are principally commodity exporters, and thus are highly exposed to price shocks.
Reining in debt and other liabilities has substantially reduced governments’ scope for sustaining demand in the face of severe negative shocks, thus reducing their ability to buy time for structural adjustment in the private sector.
This balance-sheet configuration has helped China to respond to shocks and sustain high levels of public-sector investment.
In fact, states are routinely called upon to deal with a wide range of market failures or limitations: unsustainable growth patterns and regulatory myopia; distributional problems associated with the evolution of technology and globalization; accelerating concentration of national income; and major structural transitions associated with shocks and secular trends in technology and the global economy.
There is also a risk of a hard landing for emerging-market economies, as trade, financial, and currency links transmit real and financial shocks to them.
From the late 1980s onward, low inflation was largely due to positive supply-side shocks – such as the Baby Boomer-fueled expansion of the labor force and the integration of many emerging countries into the global trading system.
This means that state fiscal behavior tends to be pro-cyclical in the face of large shocks like the recent one.
But that also means that it will need a more robust mechanism for countercyclical responses to shocks.
A better long-term solution is a central EU fiscal capacity that accumulates the resources to respond to shocks during periods of growth.
Students of Weimar Germany know that sudden dislocations and shocks – rapid urbanization, disruption of traditional family and social ties, loosening of sexual restrictions, and economic collapse – primed many Germans to become receptive to simplistic theories that seemed to address their confusion and offer a larger meaning to their suffering.
But it is the economic slowdown that renders all developed countries less resistant to the financial shocks resulting from the sub-prime problem and from the mixed loan packages that are then used to dilute the risks attached to sub-prime debt.
Both men entered national leadership under President Gerald Ford in 1974, during the Arab oil embargo, which unleashed huge economic shocks that doomed Ford's presidency.
Vigorous V-shaped rebounds have a built-in resilience that allows them to shrug off shocks relatively easily.
Consequently, external shocks quickly expose their vulnerability.
If the shocks are sharp enough – and if they hit a weakened global economy that is approaching its “stall speed” of around 3% annual growth – the relapse could turn into the dreaded double-dip recession.
This protracted “global output gap” underscores the absence of a cushion in today’s world economy, as well as its heightened sensitivity to shocks.
While none of these shocks appears to have been severe enough to have derailed the current global recovery, the combined effect is worrisome, especially in a still-weakened post-crisis world.
But in the aftermath of the worst crisis and recession of modern times – when shocks can push an already weakened global economy to its tipping point a lot faster than would be the case under a stronger growth scenario – the escape velocity of self-sustaining recovery is much harder to achieve.
Yet with exports still close to a record 45% of pan-regional GDP, Asia can hardly afford to take external shocks lightly – especially if they hit an already weakened baseline growth trajectory in the post-crisis developed world.
Recent food and energy price shocks have pulled the world up short.
The Dollar UnboundVIENNA: Whenever world currencies go haywire, pundits try to make sense out of chaos by focusing on factors specific to each crisis: the 1970s oil price shocks, the 1982 Latin American debt crisis, today’s Asian crisis.
Global bouts of dollar-price inflation (including the two oil-price shocks) and dollar-price deflation are induced by the way the international financial system operates.
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