Comparative Study of the Sustainability of BRICs’ Balance of Payments Structures.docVIP

Comparative Study of the Sustainability of BRICs’ Balance of Payments Structures Abstract: In the context of globalization, the international economics is increasingly important in a country’s economic development, especially for developing countries. The international economic situation is mainly manifested in balance of payments (BOP). It’s not difficult to find that when a crisis or macroeconomic volatility breaks out in the opening-up process of developing countries, the countrys BOP will deteriorate first. Therefore, the sustainability of BOP structure is very important to an open economy or an opening-up economy. The opening-up of BRIC countries began at the early 1990s. In nearly 20 years’ exploratory process, though the four countries experienced very differently, their good economic performance attracts worldwide attention in the 21st century. Although the BOP structures of the four countries are distinctive, generally speaking, the sustainability has been significantly improved. After comparative study, this paper finds that there are some experience and lessons which should be summarized and learned from each other. Key words: BRIC Balance of payments structure Complementarity Sustainability? 1 Introduction BRIC , this concept was introduced by the United States Goldman Sachs chief economist Jim ONeill on the November 20, 2001 in his article titled The global need for better economic brick in the first time, refers to the four emerging market economies - Brazil, Russia, India and China. Because the development potential of the four countries is obvious, so the formulation BRIC quickly accepted by the international community. In 2008 global financial crisis “BRIC” show their respective advantages as an important driving force in the world economic recovery. The crisis also provided the four countries opportunities for cooperation; in 2009 and 2010 the BRIC summit held two summit meetings to form a mechanism respectively in Russia and Brazil. In December