The global economy is likely to grow at only a moderate pace this year and the divergences between regions are set to widen further. The US should resume its steady recovery but there is little evidence of a sustained upturn in growth in the euro-zone or Japan, and the major emerging economies have slowed. While there could be an upside surprise from the US, we think the downside risks from elsewhere are greater. In particular, the euro-zone crisis could flare up again, Japan’s modest recovery could go into reverse or there may be a steeper downturn in emerging economies. Prospects for 2014 at least appear marginally brighter.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services