High household debt: a challenge for medium-term growth?

By Filippo Gori and Théodore Renault, OECD Economics Department The global economy is now growing in sync at his fastest pace in years, but financial vulnerabilities create challenges for medium-term growth. Private indebtedness, including of households, remains a source of concern, as set out in the special chapter of our latest Economic Outlook on “Resilience … More High household debt: a challenge for medium-term growth?

Brighter futures or dashed expectations? The global recovery needs to deliver gains for all

By Lukas Lehner and Dorothée Rouzet, OECD Economics Department Global growth has gained momentum in 2017 and the economic recovery is moving forward, as shown in our latest Economic Outlook. Labour productivity is improving from its decade-long sluggishness. Yet, expected productivity gains still lag far behind pre-crisis norms, and will not be sufficient to set … More Brighter futures or dashed expectations? The global recovery needs to deliver gains for all

Investment, an engine of global growth that has yet to fire up

By Théodore Renault and Dorothée Rouzet, OECD Economics Department Global growth has strengthened, but policymakers face the challenge of lifting their economies’ long-term potential to ensure it remains robust and more inclusive. Private sector investment has slowed substantially in the past decade. Even though they have started to recover in most advanced economies, net investment … More Investment, an engine of global growth that has yet to fire up

The Policy Challenge: Catalyse the private sector for stronger and more inclusive growth

by By Catherine L. Mann,  OECD Chief Economist and Head of the Economics Department, Global economic growth is strengthening, with incoming data surprising on the upside. We project global GDP growth to be between 3 ½ and 3 ¾ per cent through the projection horizon, closer to long-run averages. Will this synchronised momentum finally propel the … More The Policy Challenge: Catalyse the private sector for stronger and more inclusive growth

Should we worry about high household and corporate debt?

By Catherine L. Mann,  OECD Chief Economist and Head of the Economics Department, and Filippo Gori, Economist, Macroeconomic Policy Division, OECD Economics Department Household and corporate debt in many advanced and emerging market economies is high in the wake of the financial crisis and following a decade of low global interest rates.  Should we be … More Should we worry about high household and corporate debt?

The middle-income plateau: trap or springboard?

Rauf Gönenç and Vincent Koen, OECD Economics Department The overall slowdown and mixed growth performance of emerging market economies in the past 15 years (see chart) has revived angst about a so-called “middle-income trap”. While countries with lower incomes often do grow faster so as to close some of the gap with high income countries, they … More The middle-income plateau: trap or springboard?

Short-term momentum: Will it be sustained?

By Catherine L. Mann, OECD Chief Economist and Head of Economics Department Global growth is projected to increase to around 3.5% in 2017 and 3.7% in 2018 from 3% in 2016 in our latest Interim Economic Outlook. The forecast has slightly improved since the OECD June 2017 Economic Outlook, with the upturn becoming more synchronised … More Short-term momentum: Will it be sustained?

Make trade work for all

By Catherine L. Mann, OECD Chief Economist and Head of Economics Department The special chapter of the June 2017 Economic Outlook calls for action to diagnose and respond to structural trends, focussing on globalisation.  International trade has been a powerful engine of global economic growth and convergence in living standards between countries. Despite these benefits, … More Make trade work for all

Global Economic Outlook: Better, but not good enough

By Catherine L. Mann, OECD Chief Economist and Head of Economics Department Global growth is projected to rise modestly from 3% in 2016 to just over 3½ per cent by 2018 in our latest Economic Outlook. The mood in the global economy has brightened during the past year, with confidence indicators and industrial production increasing, and … More Global Economic Outlook: Better, but not good enough

Will risks and financial vulnerabilities derail the modest recovery?

By Catherine L. Mann, OECD Chief Economist and Head of Economics Department Global growth is projected to pick up to around 3½ per cent in 2018, from just under 3% in 2016 in our latest Interim Economic Outlook. The forecast modest recovery is supported by fiscal initiatives in major economies and broadly unchanged from the November … More Will risks and financial vulnerabilities derail the modest recovery?