World EconomyWorld EconomyAvery Trendel

Block 3

State of the World EconomyState of the World Economy

The world economy is currently in pretty bad shape. We are reaching a big downturn in the face of the most dangerous shock in financial markets since the 1930’s.

Some current world indicators are the GDP which has decreased quickly and prices have gone down.

China’s EconomyChina’s Economy

China’s economy is the fastest growing economy in the world right now.

More independence was granted to business enterprises previously owned by state government

The banking system was diversified.

Australia’s EconomyAustralia’s Economy

Australia’s economy is also doing very well right now

Over the past two decades Australia has experienced positive reforms that have boosted its economy

Today it is still riding the commodity boom and should grow for the next 5 years

Iceland’s EconomyIceland’s Economy

Iceland’s economy is currently not doing very well

Iceland’s central bank pursued the wrong monetary policy

Foreign currency became frozen to them cutting off international trade

United States EconomyUnited States Economy

The United States is another country with a currently bad economy.

One reason for this is the mortgage loans crisis

Another is the recent failure in the housing and credit markets

Europe’s Highest GDPEurope’s Highest GDP

Germany has the highest GDP in all of Europe

A reason for this could be that Germany is the world’s largest exporter of merchandise