World Economies on the Move
Today’s global economic data tells us that Europe is showing positive growth, the BRIC (Brazil, Russia, India, China) bloc’s rapid growth rate is leveling off, Japan is coming out of 20 years of deflation, and the U.S. is showing signs of sustained economic recovery from the Great Recession. What does all this mean for business? As a hedge fund manager once told me, any movement, up or down, in any market, anywhere in the world, creates business opportunities. Perhaps the biggest potential “win” is for first-world”—U.S., Canada, and the EU—business in China, where a major economic shift is underway, from huge-scale, government-subsidized projects to a more consumer-driven economy. Increased demand for products will be the result. Innovative companies should find expanded markets and new profits in a downshifting Chinese economy.
John Howell, Editorial Director