"A Tale of Two Depressions" is getting old. The "tale" report is one of the most interesting pieces of research in 2009. The two economist who have studied the current crisis and Great Depression take the performance of the global economy back in the 1930's and overwrite the current data to see how close the two match. The pictures were stark. The current recession was following the same global path as the depression. We were heading in the same direction and with the same intensity.
Now we are starting to following a different path. Global growth is turning. This may just be noise but it looks like we are veering off path. There is still a concern about trade but the numbers are starting to change. What is working is the stimulus shock. This is a lot different than the 1930's. The big question will be whether private growth can take over from the government shock.
Now we are starting to following a different path. Global growth is turning. This may just be noise but it looks like we are veering off path. There is still a concern about trade but the numbers are starting to change. What is working is the stimulus shock. This is a lot different than the 1930's. The big question will be whether private growth can take over from the government shock.
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