The financing of the US deficit took place largely through the purchase of dollar denominated Government bonds by the rest of the world, resulting in the accumulation of huge liquid reserves, in particular in China, Japan and oil exporting countries.
Another international imbalance derived from the growing pressure that world demand exercised on the scarce resources of the planet, in particular primary commodities, such as oil, generating a sharp price rise until mid 2008. Primary commodity price developments have put into question the convenience of several durable products with high energy intensity, thus reducing their demand.