Advances made on the vaccination front are raising hopes that the pandemic can be suppressed for good and that the protective measures that are restricting economic life so much can be lifted. But 17. Shin, S. telling (Seite),what Central banks and the new world of payments, speech delivered on“[Epidemics 30 June 2020. there’s stillH.no long-term implications the pandemic will have for our society.
Creative destruction More generally, innovation drives changes in trade patterns. This is economist Joseph Schumpeter’s idea of creative destruction.8 The new replaces the old. Firms inventing new products may expand their exports by penetrating new markets. They can also develop new production processes that enable them to produce at lower cost.