Katrina Shankle/Fri. April 25, 2008/ Global Economics
The World Economic Outlook released Wednesday didn't possess an optimistic outlook for the global economy. In fact, it foretold of slashed growth projections for the root of the cause of the global economic woes, the United States.
The global economy's projected growth will also suffer. The United States' economic growth is projected to slow to a mere .5 percent growth this year. This will be the worst growing pace in seventeen years, which coincidentally is when the United States last suffered a recession. The International Monetary Fund isn't prophesing much better for the United States next year either, they expect growth for the U.S. in 2009 will only reach about .6 percent. Their prediction is that the U.S. will slip into a small recession in 2008 as a result of mutually reinforcing cycles in the housing and financial markets according to the IMF.
While the United States is finally admitting to being ensnared in a recession, Germany will not fair much better. The IMF is also cutting its projection of growth for Germany's economy slowing to a growth of about 1.4 percent. The German economy will also dip again in 2009, to only 1 percent. Great Britain's economic growth will slow to 1.6 percent in 2008 and 2009. France will also slow to 1.4 percent this year and decrease to 1.2 percent to 2009.
There is a bright side, some countries such as Japan, China, Canada, India, and Russia are experiencing small bouts of growth.
http://www.bvom.com/news/english/news/index.asp?.sequence=61653&.this=58
2 comments:
That doesn't sound too good and hopefully we will be able to avoid another recession as we did 17 years ago.
This is quite scary because they have had warning signs for quite a while and haven't really been able to do anything so i hope they will come up with something soon.
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