Taking together all of the countries, one would have a view of the global economy. Understanding the global economy and the shifts among countries, businesses can better allocate capital to the areas of the world that are growing. The U.S. currently is the largest economy in the world, now followed by China. Shifts among countries in their global economic ranking are the result of many criteria, including population growth and fiscal and monetary policies. Knowing which part of the world is growing economically and which part is shrinking is extremely important for businesses.
Global Economy was last modified: September 7th, 2013 by admin
The economic-related statistics being released on an almost daily basis are gruesome…and the chances of a global recession are becoming imminent.
How bad is global trade?
Talking numbers, between 1983 and 2008, on average, global trade grew at about six percent per year. Now this rate is down to just three percent. Here’s something.
The Federal Reserve’s reckless monetary policies have created a colossal asset bubble, which could trigger a stock market crash and global economic collapse in 2016. At least, that’s the opinion of famed market commentator Marc Faber.
In an interview with CNBC on Wednesday, the editor and publisher at The Gloom, Boom & Doom.
Late last year I wrote an article suggesting the U.S. could enter a depression in 2015. To some it sounded farfetched at the time. After all, the stock market was at record highs and investors remained bullish. But it seemed to me that all the economic evidence pointed to a U.S. financial crisis. I think the same conditions are in play. In .
For months, I have written in these pages about how the slowing global economy would wash ashore to America and infect our own companies. I posted repeated charts in Profit Confidential that showed leading indicators like the Baltic Dry Index and copper prices were collapsing, foretelling of poor economic conditions ahead. And wouldn’t.
While most people are obsessing over China’s stock market crash, a more pressing concern is the decline of global trade. There are two major exporters, both of them in East Asia, whose exports have fallen dramatically from month to month. It is a devastating blow to the world economy, and one that could very well tip us into a full-blown.
Immediate term outlook:
The bear market rally in stocks that started in March 2009, extended because of unprecedented central bank money printing, is coming to an end. Gold bullion is up $1,000 an ounce since we first recommended it in 2002 and we are still bullish on the physical metal.
Short-to-medium term outlook:
World economies are entering their slowest growth period since 2009. The Chinese economy grew last year at its slowest pace in 24 years. Japan is in recession. The eurozone is in depression. With almost half the S&P 500 companies deriving revenue outside the U.S., slower world economic growth will negatively impact revenue and earnings growth of American companies. Domestically, America’s gross domestic product grew by only a meager 2.3% in the second quarter, which will negatively impact an already overpriced equity market.