Reading about the potential contagion of Greece’s debt problems, I discovered STUPID in Schott’s Vocab, a NY Times blog about words and phrases. Schott quoted Reuters Breakingviews, “The new acronym on trading floors for possible dominoes if Greece should fall is STUPID (Spain, Turkey, UK, Portugal, Italy, Dubai).
A second acronym returns us to the Goldman Sachs economist who coined, BRICs (Brazil, Russia, India, China) as the preeminent emerging economies. Now though, he says we should remember MIST (Mexico, Indonesia, South Korea, Turkey). According to the Guardian, MIST countries share, “a large population and market, a big economy at about 1% of global GDP each, and all are members of the G20.”
Finally, NY Times financial columnist Floyd Norris takes us to CIVETS and JUUGs. A fund for investing in Colombia, Indonesia, Vietnam, Egypt, Turkey and South Africa, CIVETS has fared better than a JUGG (Japan, U.S. U.K., Germany) basket of securities.
The Economic Lesson
A handy acronym for remembering different recovery trajectories is LUV. Experienced by struggling economies (Spain and Portugal) an “L” shaped recovery is problematic. The “U” is more auspicious (U.S) and the “V,” the best (BRICs).
An Economic Question: Which current stats confirm “L,” “U,” and “V” recoveries?