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World Economic Perspectives in 2007

Slowdown in the US, but robust growth in the South

The world economy is expected to moderate in 2007 after three years of historically high growth according to a new UN report, titled “World Economic Situation and Prospects 2007”. Stepping back from the all-time high growth in world gross product (WGP) of 4.0 per cent reached in 2005 and the estimated 3.8 per cent growth for 2006, global growth is expected to slacken at a pace of 3.2 per cent in 2007. WDEV summarises the report.

 

A weakening housing market in the United States is a major factor in the global slowdown, according to the UN annual forecast (see reference). The cooling of the housing boom is expected to depress consumer demand and slow the growth of the US economy to a rate of 2.2 per cent in 2007 ...

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Posted: 12 Jan 2007







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