Cyclic business effects often spread from one country to another and may engulf much of the world economy. Obstacles to foreign trade, extremes in commodity prices, depressed stock prices, high interest rates and artificially valued leading world currencies play a vital role in this process of transmission, both directly and through their influence on business psychology.
2. Although Asia is still on track to becoming the centre of the global economy in the 21st century, the positive outlook is far from assured. The sustainability of Asia's prosperity could be threatened.