Markets are bubbling over signs of “green shoots” in the global economy, with an increasing number of investors seeing a strong rebound coming, first in China, then in the US, and then in Europe and the rest of the world. But, even after the current crisis ends, global growth is almost certain to remain lower than the pre-crisis boom years for some time to come.
Cambridge – Markets are bubbling over signs of “green shoots” in the global economy. An increasing number of investors see a strong rebound coming, first in China, then in the United States, and then in Europe and the rest of the world. Even the horrible growth numbers of the last couple quarters don’t seem to discourage this optimistic thinking. The deeper the plunge, the stronger the rebound, some analysts say.
Perhaps these optimists are right. But how strong an expansion can one reasonably expect when the worst is finally over? Is the “new normal” going to be the same as the “old normal” of the boom years from 2002 to 2007?
I have trouble seeing how the US and China, the main engines of global growth for two decades, can avoid settling on a notably lower average growth rate than they enjoyed before the crisis.
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No one doubts that the most well-known collaborators in World War II were experts at exploiting the fissures in totalitarian regimes and wiggling their way through the cracks into positions of power. But assessing their motives poses a much greater challenge, and that is why the issue is still debated to this day.
asks what those who cooperated with the enemy in World War II reveal about those who behave similarly today.
Despite slowing price growth, the US Federal Reserve has raised its benchmark policy rate by another 25 basis points, to a range of 5.25% to 5.5% – its highest level in more than two decades. With the European Central Bank also hiking rates over lingering inflation concerns, we asked PS commentators whether the fixation on 2% is warranted.
Cambridge – Markets are bubbling over signs of “green shoots” in the global economy. An increasing number of investors see a strong rebound coming, first in China, then in the United States, and then in Europe and the rest of the world. Even the horrible growth numbers of the last couple quarters don’t seem to discourage this optimistic thinking. The deeper the plunge, the stronger the rebound, some analysts say.
Perhaps these optimists are right. But how strong an expansion can one reasonably expect when the worst is finally over? Is the “new normal” going to be the same as the “old normal” of the boom years from 2002 to 2007?
I have trouble seeing how the US and China, the main engines of global growth for two decades, can avoid settling on a notably lower average growth rate than they enjoyed before the crisis.
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Subscribe now for unlimited access to everything PS has to offer.
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