"9.11" Incident Of Domestic And International Economic Impact

The global economy was in unrest even before the terrorist attacks of September 11 in America.The event is believed to strengthen the pessimistic anticipation, destroy the consumers' confidence and cast a shadow on the global economy. Despite considerable direct losses, the economic hole can be easily filled up in a gigantic economic organization as in America. Unlike the losses by natural disasters, the terrorist attack and following activities will have an enormous influence upon the public psychology, reduce their confidences on the political and economic security, further worsen the global economic environment, put off the economic recovery, cause the unrest of financial market and the transference of the international capital to comparatively-low-risk place.As in china, on the one hand, with the retarding growing rate of economy, the decreasing demand of the global market, the falling commodities price, the emergence of protectionism, the benefits and export volume of the enterprises are decreasing. On the other hand, the weakening global economy, the flourishing domestic economy, China entry into WTO, Chinese success in its bid for hosting 2008 Olympic Game, and its develop- West China strategy entering a significant stage, will definitely create new opportunities for domestic economy, and attract more and more foreign capital into china. On a whole, the September 11 event has more advantages than disadvantages to china.Therefore all governments must focus on elimination of the terrorists' roots, especially their economic roots, while strengthening their defense and fight against them. Meanwhile they should adhere to the aim of peace and development, dedicate themselves to restructuring the global trade for further development and hasten the pace of economic recovery.This article, with application of numerous statistics and charts, and with emphasis of financial market, foreign trade and the flow of international capital, analyzes and discusses the economic situation at home and abroad. It holds that in spite of the severe losses, the September 11 event in America has merely a short-term impact on the globaleconomy. From the angle of economy cycle, the event is merely one of the unfavorable external factors, and economy will return to its own way of development. China should make good use of the opportunities and favorable conditions in the coming one or two years for long-term benefit from it.