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Credit for the losses was primarily given to the activities of outsize derivative trades effected by one of the bank's traders known as the "London Whale".
The thinktank says the figure is a conservative estimate of the short-run trade effect.
Much of the trade effect of monetary unions comes from a collapse in exports and imports when they dissolve.
In about a third of LDCs, exports grew during the 1990s, but average incomes fell.UNCTAD calls this "the immiserising trade effect"—implying that freer trade impoverishes.
This result is sometimes called the "terms of trade effect".Messrs Grossman and Rossi-Hansberg describe this as a "new paradigm", a phrase guaranteed to raise the hackles of more cautious scholars.
Some economists reckon the worst of the trade effect is now over; others suggest there is more to come, pointing to the prospect of recession in Latin America, which accounts for one-third of the United States' export market.
The so-called "Jack-of-all-trades" effect in European forests generates a low level of functioning in highly diverse forest stands (Van der Plas 2016b).
The developed countries of the region will gain due to positive terms of trade effect.
A perfectly competitive economy shows only the first two effects, technical change and the terms-of-trade effect.
The Asian crisis experience suggested that sometimes the balance sheet effect could be larger than the trade effect.
A systems engineering model has been developed for the global petrochemical industry, named FREAK (FoReign trade Effect Assessment Kit).
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com