The Patriot Post® · IMF Lowers World Economic Projections

The International Monetary Fund’s latest World Economic Outlook is gloomier than its last prognosis, and poor economic indexes, led by European markets, are raising fears of another global recession. “[T]he IMF cut its projection of world economic output growth in 2015 from 4 percent to 3.8 percent, based on slower-than-anticipated economic activity in the first half of 2014,” the Washington Examiner reports. “It also lowered its estimate of growth for this year, from 3.7 to 3.3 percent. The IMF also reported greater downside risks, especially for Europe. It raised its estimate of the probability that the euro area would fall into a recession in the next six months to 38 percent, nearly double what it was in April.” That’s on top of the European Union’s increased risk of deflation. The report also red flagged America and Japan, putting the countries’ chances of returning to a recession at 14% and 24%, respectively. Seemingly short-term gains, like September’s jobs report, don’t fix the underlying problems still threatening the global economy. And until those issues are addressed, don’t expect any meaningful growth. More…