In this paper we develop a multi-region DSGE model for the global economy suited to understand the join determination of exchange rates, trade balances and commodity prices across the world. We analyze several international phenomena through the lens of the model. First, we consider the US slowdown and its international propagation. Second, we explore a global boom-bust cycle driven by overoptimistic perspectives for the productivity and its relationship with current account rebalancing. Finally, we analyze the global economic consequences of protectionism.