International Feedback Mechanisms are detailed in Chapter 15. Except here, the locomotive effect is going the wrong direction… 

Extra EU 27 Trade Falls by 20 % In 2009 – and that is before the upcoming EU austerity measures

Source: WSJ

To round out the balance of payment information, here is the news on EU financial flows:

EU Foreign Direct Investment (FDI) flows have been severely affected by the global economic and financial crisis. They …dropped sharply in 2008, for both inward and outward FDI flows (34 % for outflows, 52 % for inflows).