The Slowdown on the Mississippi
October 24, 2022Vinyl Records, Creative Destruction, and the GDP
October 26, 2022The newest IMF chart of the week conveyed a snapshot of a world with less growth. Predicting deceleration, they estimate, a 3.2 percent growth rate this year and then 2.7 percent for 2023:
Uncertainty though is the key word. They quantify the outlook with a one in four probability that growth will descend below that 2 percent rate.
Europe’s Economic Problems
Then, in yesterday’s blog, they looked more closely at Europe. Although inflation was only partially explained, energy and food clearly were primary causes:
Meanwhile, a country by country look revealed the low is Switzerland at 3.2 percent while, at the other extreme, Ukraine’s and Estonia’s inflation rates are slightly more than 24 percent:
Heating Meltdown
Adding to Europe’s economic problems, I think, instead of a crunch, we could call the heating crisis a possible meltdown. But it does vary:
Our Bottom Line: European Economic Forecasts
Meanwhile, returning to where we began, it all adds up to these (uncertain) European economic forecasts.
My sources and more: I always look forward to my IMF Blog email for global economic insight. While I would appreciate more indiviodual stories, the overview is always helpful. Today’s facts came from here and here. Then, in the past, at econlife, we’ve added to the uncertainties with this look at Europe’s energy possibilities from the Bruegel think tank.