Sunday, February 10, 2013

GLOBAL ECONOMY-G20 to skirt potholes and follow growth signposts

http://www.reuters.com/article/2013/02/10/economy-global-weekahead-idUSL4N0B90RP20130210

It is good to see that the global economy is on an upward rise, even it may be a slow growth. A more interesting part of the article is the last part, which cites currency wars as a primary reason for concern among many countries. However, with the G20 summit, it seems that these countries are willing to work together for the betterment of all countries and that they have an incentive to continue to do so.
It is also interesting that China is still continuing its high growth. Although it is a capitalist economy, it still retains some measure of central-planning. However, for whatever reason, their model has been working extremely well. Most likely China is still not producing at the Production Possibility Frontier and it seems likely that their growth will stave off just like it had for all other countries, but the consistent high growth they have been able to accomplish cannot be underestimated.

No comments: