Really scary economic charts: world unemployment and growth
This article highlights how the financial crisis has spread like a disease throughout the world. Unemployment rates are rising, growth rates are declining, and the economic pain is felt globally.
G7 Growth rates are falling flat – Canada is the last man standing.
The chart illustrates annual growth across the G7 economies through Q4 2008 for Italy, Germany, U.K., U.S., and France, and through Q3 2008 for Japan and Canada. Canadian growth is still positive over the year, +0.53%, but may lose its status as “last man standing” when Statistics Canada releases its Q4 2008 GDP report. Growth was negative in October, -0.1%, and November, -0.7%.
The chart illustrates annual GDP (gross domestic product – the aggregate measure of domestic production) growth for a set of 50 economies using the latest available release. Across the board, there is a diversity in growth; this is a consequence of country-specific economic circumstance.
However, 18 economies posted negative annual growth rates, ranging from Latvia, -10.5%, to the U.S., -0.2%, and average growth across all 50 economies is 1.67%. And there are a lot of developed economies in this category: U.S., Italy, Japan, Iceland, France, Denmark, Netherlands, Belgium, to name a few; actually, most of them are. The downside risk to World growth is very high, and the number of contracting economies will likely grow in coming quarters.
This chart illustrates annual GDP growth across the same 50 economies – ranked from biggest decline to biggest increase – at the end of the last U.S. recession, Q4 2001. In 2001, 10 countries posted negative economic growth, ranging from Argentina, -10.5% to Austria, -0.5%, and the average growth rate was higher, 1.88%. And only four of them are developed economies: Austria, Belgium, Japan, and Turkey.
Originally published at the News N Economics blog and reproduced here with the author’s permission.