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BUSINESS Monday 21 october 2019
A25

IMF, World Bank leaders appeal for an end to trade wars

By MARTIN CRUTSINGER lost 98% of her life savings
BANI SAPRA during a period of hyper-
Associated Press inflation in the 1990s in Bul-
WASHINGTON (AP) — The garia.
leaders of the International She said the world was in
Monetary Fund and the the midst of a slowdown
World Bank appealed to with nearly 90% of the
their 189 member countries global economy experi-
on Friday to resolve widen- encing weaker growth this
ing disagreements on trade year. The IMF this week pro-
and other issues, warning jected that growth would
that the divisions threaten only reach 3% this year, the
to worsen the impact of a weakest performance in a
global slowdown. decade.
The IMF's managing direc- The IMF and World Bank
tor, Kristalina Georgieva, meetings were expected
cited the fallout from a to be dominated by the
variety of factors: the U.S.- trade disputes triggered by
China trade war, which the Trump administration's
has engulfed the world's get-tough policies aimed
two biggest economies; at lowering America's huge
spreading weakness in Eu- trade deficits and boosting
rope that is linked to Brexit; U.S. manufacturing jobs. So
and rising tensions in the far those efforts have made
Middle East. little headway.
"Trade tensions are now International Monetary Fund (IMF) Managing Director Kristalina Georgieva speaks during the In addition to the battle
taking a toll on business opening ceremony of the World Bank/IMF Annual Meetings in Washington, Friday, Oct. 18, 2019. between the United States
confidence and invest- Associated Press and China, higher U.S. tar-
ment," she said in her open- ing fragility, conflict and after the G-20 discussions accomplishments of her iffs went into effect Friday
ing address to the finance violence, making develop- that the finance officials IMF predecessor, Christine on $7.5 billion in European
officials. ment even more urgent "broadly agreed that the Lagarde, the first woman goods coming into the
The World Bank's president, and difficult," he said. global economic expan- to head that agency. La- United States in a dispute
David Malpass, said the Finance ministers and cen- sion continues but that its garde was in the audience involving airplane subsidies.
slowdown in global growth tral bank officials from the pace remains weak." Risks for the speech. France's finance minister,
was hurting efforts to help Group of 20 major industrial remain from "trade and "As someone who grew up Bruno Le Maire, said China
the 700 million people countries also noted the geopolitical tensions," said behind the Iron Curtain, I probably would be the real
around the world living in slowdown but projected a Aso, whose country served could never have expect- winner in the U.S.-EU trade
extreme poverty, especial- pickup in growth next year, as the G-20 chair this year. ed to lead the IMF," Geor- fight. He said the EU was
ly in nations trying to cope as long as the risks do not Georgieva, a Bulgarian gieva said. She noted she ready to negotiate a settle-
with a flood of refugees intensify. economist who had been had witnessed the devas- ment to avoid the tariffs but
from regional conflicts. Japan's finance minister, the No. 2 official at the tation of bad economic so far the U.S. has rejected
"Many countries are fac- Taro Aso, told reporters World Bank, recognized the policies when her mother those efforts.q
California unemployment rate falls to record low of 4%

fornia — and San Francisco From 1980 to 2015, the top an analysis published last
in particular — one of the earners in San Francisco week by the Federal Re-
most unequal places in saw their wages jump 120% serve Bank of New York. q
the country as high-wage while the lowest earners
earners push up prices for saw their wages increase
everyone else. just 20%, according to

People make their way through the Financial District across Cal-
ifornia Street Friday, Oct. 18, 2019, in San Francisco.
Associated Press
By OLGA RODRIGUEZ a level that economists
ADAM BEAM once thought impossible.
Associated Press "That is almost unthink-
SAN FRANCISCO (AP) — able," said Sung Won Sohn,
California's economy kept professor of economics at
humming in September, Loyola Marymount Univer-
dropping the unemploy- sity. "It flies in the face of
ment rate to a record low economic theory." Howev-
4% statewide and under 2% er, the explosive job growth
in San Francisco and some has done little to close the
of its neighboring counties, gap in wages, making Cali-