In this report

The world economy is at a fork in the road. On one path, 2016 looks likely to see a deterioration from mediocre to miserable; on the other is a happier continuation of normalisation after the financial crisis

World poised between fear and hope

There may be trouble ahead but some argue we are well positioned to cope

Why interest rates are so low

Rates have been very low since soon after the worst of the financial crisis

China’s precarious rebalancing act

The shift to sustainability comes at a price

Markets braced for divergence

The world is waiting for the US Federal Reserve to move

For every laggard, a growth gazelle

Contrasting themes can be picked out from a fragmented economic picture

Ford Motor Co. 2015 Mustangs move along the production line at the company's Flat Rock Assembly Plant in Flat Rock, Michigan, U.S., on Thursday, Aug 28, 2014
©Jeff Kowalsky/Bloomberg

Cars and homes driving US economy

Consumer conditions improve but risks may be brewing

Maurice Obstfeld

Profile: Maurice Obstfeld

The chellenges facing the IMF’s new chief economist

Technology transforms world trade

Developments are undermining the traditional model

Tax rules will create winners and losers

International regulations receive a mixed reception


Global hangover proves costly

Economic growth is uneven around the world and new jobs a priority

Testing times for those seeking open markets

The pessimistic take is that all the negotiations now under way are ridden with naive false promise

An extraordinary state of ‘managed depression’

In the eurozone, more action is needed if a widely shared and successful recovery is to be achieved

Purists retreat in global debate on fiscal policy

The choice between austerity and growth is no longer straightforward, with rich and poor countries settling on different solutions

Fears of housing crash in China raise global alarm

Residential sales are falling in major cities, putting growth and even the worldwide recovery at risk

Macroprudential policy can be a useful tool

Central banks are regulating banks and other financial institutions to head off boom-to-bust cycles in finance

Shifting dynamics at Jackson Hole underline a new divergence

Central banks are revising their positions on interest rates

Policy makers worry that investors are underpricing risk

The end of US quantitative easing is sending ripples across financial markets

Productivity crisis haunts the power league

As China takes its place as the world’s biggest economy, growth performance has been disappointing across the board

Cash-strapped countries eye trillions held offshore

Foreign structures are tempting targets for governments

Incomes fail to recover, except for those at the very top of the ladder

Economists are finding links between rising inequality and problems with macroeconomic performance