Tectonic Shifts in the Global Economy : The Power of Emerging Markets

In the last two decades, emerging markets have become important global economic players. This paper evaluates the implications of the structural economic changes and increased participation of emerging markets in the global trade and the financial system for growth dynamics and economic interactions of the world economy. Furthermore, the effects of the current crises and the role of the emerging markets in the global economic recovery are analyzed in conjunction with the areas of multilateral policy coordination that have to be fostered to manage an increasingly multi-polar world economy. The article concludes with a discussion of the reforms necessary to sustain the growth performance of the emerging markets in the future