The OECD report forecasts<\/a> a 3%\u00a0growth range\u00a0– the weakest reported annual growth rate since the financial crisis of 2008, reporting\u00a0escalating trade conflicts, politic uncertainty, persistent weakness in manufacturing sectors, and\u00a0downside risks continuing to mount as the main challenges for confidence, growth and job creation across the world economy.<\/p>\n \u201cThe global economy is facing increasingly serious headwinds and slow growth is becoming worryingly entrenched\u201d (…) \u201cThe uncertainty provoked by the continuing trade tensions has been long-lasting, reducing activity worldwide and jeopardising our economic future. Governments need to seize the opportunity afforded by today\u2019s low interest rates to renew investment in infrastructure and promote the economy of the future,\u201d said OECD Chief Economist Laurence Boone.\u00a0<\/strong><\/p><\/blockquote>\n The\u00a0World Economic Situation and Prospects 2020<\/em>\u00a0from the United Nations (UN)<\/a>, on the other hand, warns that economic risks remain strongly tilted to the downside, stating that\u00a0growth of 2.7% in 2020 is possible, but a flareup of trade tensions, deepening political polarization, financial turmoil and increasing scepticism could derail a recovery.<\/p>\n \u201cPolicymakers should move beyond a narrow focus on merely promoting GDP growth, and instead aim to enhance well-being in all parts of society. This requires prioritizing investment in sustainable development projects to promote education, renewable energy, and resilient infrastructure,\u201d emphasized Elliott Harris, UN Chief Economist and Assistant Secretary-General for Economic Development.<\/strong><\/p><\/blockquote>\n Finally, the World Bank, on its own document, projects<\/a> a steep productivity growth slowdown\u00a0in emerging and developing economies, projecting global growth at\u00a0at 2.6% for 2020, just above the post-crisis low registered in 2019. It continues reporting a high possibility of a re-escalation of global trade tensions, policy uncertainty, financial disruptions inside corporations, and sharp downturns for some major economies.<\/p>\n \u201cWith growth in emerging and developing economies likely to remain slow, policymakers should seize the opportunity to undertake structural reforms that boost broad-based growth,\u00a0which is essential to poverty reduction\u201d (…)\u00a0\u201cSteps to improve the business climate, the rule of law, debt management, and productivity can help achieve sustained growth,\u201d said\u00a0World Bank Group Vice President for Equitable Growth, Finance and Institutions, Ceyla Pazarbasioglu.<\/strong><\/p><\/blockquote>\n As the following Statista chart shows, estimates for this year\u2019s global economic growth range from 2.5% (World Bank<\/a>\u00a0and\u00a0UN<\/a>) to 3.3% (IMF).<\/p>\n Based on estimates about regional sustainable growth in the labor force and productivity, IHS Markit sees potential growth in the US economy of around 2%, stating that the run-up to the 2020 presidential election could provide some policy surprises, both positive and negative.<\/p>\n On the other side of the trade war, an aging population, and a decade-long deceleration in productivity growth could make China’s growth rate slide even further. This large drop, according to the global information provider, suggests China’s model of state-controlled development is running out of steam<\/a> and the country is at risk of falling into the middle-income trap of diminished growth potential.<\/p>\n![\"\"](\"https:\/\/www.ceo-na.com\/wp-content\/uploads\/2020\/01\/o-1024x1024.jpeg\")
<\/p>\nAn expanding US economy – a sliding China side<\/h1>\n