Most of the major developed economies are yet to recover from the depths of the Great Recession. In fact, as the graphic highlights, except Canada, Belgium, US and Germany, none of the rest have regained their pre-crisis GDP level.
The fact that it is almost four-and-half years since the Great Recession struck makes this one of the longest periods of sustained economic weakness since the Great Depression. The labour market conditions mirror the GDP levels, thereby causing untold human suffering. With private sector in no position to lead growth, creditors still wary of lending, and household and business balance sheets debt-laden, government remains the only agent capable of kick-starting growth. But the fervour with which austerity is being promoted means that the only engine of growth is yet to be turned on full throttle.
The fact that it is almost four-and-half years since the Great Recession struck makes this one of the longest periods of sustained economic weakness since the Great Depression. The labour market conditions mirror the GDP levels, thereby causing untold human suffering. With private sector in no position to lead growth, creditors still wary of lending, and household and business balance sheets debt-laden, government remains the only agent capable of kick-starting growth. But the fervour with which austerity is being promoted means that the only engine of growth is yet to be turned on full throttle.
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