http://www.economist.com/node/21550278
This article discusses the global economic situation, and whther or not the international market is recovering from the financial crises of the last several years. In particular, the article discusses the Greek debt developments, the potential of an oil-supply shock, and tensions with Iran over nuclear weapons. Signs of recovery are evident in the economies of many countries, including the U.S. and Greece. However, I would argue that as unemployment rates rise and debts are lowered in these countries, recovery is still not in sight. One reason I think this is because while the economies of these countries may be rising, instability within the countries is undermining these economic successes. How large of a role does the public's perception play in an economic recovery? Does civil unrest in the U.S. (think Occupy WallStreet and other movements) and Greece (massive daily protests) hinder the already unstable economies in these areas? Can economic recovery occur fully without the support and acceptance of the country as a whole or in part?
1 comment:
Obviously the world economy has yet to recover, but I think that the cautious optimism of this article's author is justified. Things aren't just getting better, they are getting better faster than they had been predicted to improve. Of course this is not to say that a mishandling of the situation can't bring us down again. So, while full recovery is still likely are a far off goal, we are on the road there.
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