Record government debt, geopolitical tensions, and weak productivity gains may result in a slow-growth future for the global economy.
Record levels of government debt, geopolitical tensions that threaten to split the global trading system, and the likely persistence of weak productivity gains may saddle the world with a slow-growth future that stunts development in some countries even before it starts. But in the emerging pandemic economy, “the global growth environment has become very challenging,” said Maurice Obstfeld, a former IMF chief economist and now a fellow at the Peterson Institute for International Economics in Washington.
