BRIC exports are vulnerable to deflation in the EU and the US

Overview

BRIC exports are all vulnerable to deflation in the EU and the US, but to varying extents. Russia’s exports are most vulnerable because of their product concentration in energy and geographical concentration in Europe. China’s exports are geographically more diverse, although they still depend largely on the developed world and are dominated by manufactures.

Brazil’s exports are slightly less vulnerable to deflation in the developed West. Its export markets are more diverse but...