The world economy [December 2001]

Since our last Commentary the prospects for the world economy have, once again, deteriorated. It is now clear that the global economy is in the grip of a slowdown that is being felt in all of the major trading blocs and in nearly every economy. Within Europe only France and the UK appear to be insulated from the worst of the slowdown. It now looks as if a recovery is unlikely until late 2002 or early 2003.