The world economy

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National Institute Economic Review, 2000, vol. 173, issue 1, 3-3

Abstract: • Strong Asian growth is boosting the recovery in the world economy, with global GDP now forecast to increase in 2000 by 4.6 per cent, the highest since 1996. • Inflationary pressures in the US will prompt the US Fed to raise interest rates a further three- quarter points by the end of the year. • Inflation in the Euro Area will remain above 2 per cent in 2000 and 200I, and this will lead to a further rise in interest rates of half a percentage point by the end of the year. • The robust Asian recovery is stimulating the Japanese economy which is now expected to grow by almost 2 per cent in 2000.

Date: 2000
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