The OECD has just published the “Global Economic Outlook 2016.”According to the report, the global economy is stuck in a low-growth trap that will require more coordinated and comprehensive use of fiscal, monetary and structural policies to move to a higher growth path and ensure that promises are kept to both young and old.
Weak trade growth, sluggish investment, subdued wages and slower activity in key emerging markets will all contribute to modest global GDP growth of 3% in 2016, according to the Outlook. Global recovery is expected to improve only to 3.3% in 2017.
Among the major advanced economies, the moderate recovery will continue. The 34-country OECD area is projected to grow by 1.8% in 2016 and 2.1% in 2017, according to the Outlook.
The whole report is available for the IESE Community here.