Singapore Recession Possible If a Full-Blown Trade War: Oxford Economics

The transcript discusses economic concerns in Singapore due to potential trade wars, focusing on the impact on Southeast Asian economies. It covers monetary policy, rate cuts, and inflation in India, highlighting the RBI's cautious approach. Liquidity issues and challenges in the NBFC sector are examined, emphasizing the need for stronger regulation. The discussion concludes with an analysis of GDP components, noting consumption as a key growth driver and the potential for investment growth in 2020.

What is the primary reason for Singapore's vulnerability to a trade war?

• Its limited export destinations

• Its strong trade relations with the US

• Its status as the most open economy in Southeast Asia

• Its reliance on domestic demand

Why might the central bank prioritize growth over inflation in the short term?

• Growth is not a concern

• Inflation is below the midpoint for an extended period

• Inflation is above the target range

• Interest rates are already high

What is a potential risk associated with the upcoming budget and monetary policy?

• Decreased government spending

• Increased inflation

• Deflation

• Higher interest rates

What is a major concern in the NBFC sector affecting growth in India?

• Excessive foreign investment

• High interest rates

• Strong government regulation

• Lack of liquidity and recent defaults

Which component of GDP is expected to show improvement due to monetary policy changes?

• Government spending

• Private investment

• Consumption

• Exports