External shocks on the international market and its impact in Peru

The international financial crisis has taken on a significant scale and its impact
global have achieved not only developed economies but also the emerging
economies such as ours. This theme revolves around the question of whether
Peru is prepared to face this crisis, whose real dimension is not yet fully elucidated,
and how to mitigate their adverse impact on economic activity, employment and
social situation.
Peru, being a small economy and open, it is continuously affected by what
happens abroad. Thus, external shocks explain part significant fluctuations it.
It presents. It is therefore important that the design monetary and fiscal policy help
mitigate the impact of these shocks.
Peru, being a small and open economy. It is continually affected by what happens
abroad. For example, movements in the rate International interest determine the
flow of capital external into or out of the economy, ultimately affects the exchange
rate and great part of the supply of credit in the financial system.
Also, variations in material prices premiums and economic growth of our major
trading partners affect the value and level of our exports, and therefore the
economic activity in our country.
Thus, external shocks explain a important part of the fluctuations of the economy
Peruvian. These shocks set largely the occurrence, extent and persistence of
Recessions and expansion of economic activity and as the co-movements that
these fluctuations cause in the other macroeconomics variables.
These recessions and expansions determine economic cycles and occur around
the product or long-term potential. If the interest rate and international prices of raw
materials continually changing, the economy will move away from its potential
output and inflation target