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Recovery from the global financial crisis has been slow going–but it’s going. However, the pace is a lot slower than most experts had hoped. According to the Organization for Economic Cooperation and Development, growth should return to a healthier rate close to its long-term goal by the end of 2016. But the pace could be a lot faster.
“Global growth is improving, but it’s not good enough,” Catherine L. Mann, the organization’s chief economist, said in a conference call prior to the release of the forecast by the O.E.C.D., the research and policy organization of the world’s richest countries. “It’s a B-minus performance.”
The O.E.C.D. is the official research arm for 34 of the world’s most-developed economies, including the United States, the European Union’s 28 member states and Japan.
The slow pace of growth has caused greater inequality in a lot of countries, reports the New York Times.
Things are slightly looking up in the U.S., which is projected to have an advance of about two percent for the year in total, accelerating to 2.8 percent next year, according to the O.E.C.D. forecast. Still not as good as it should be.
“U.S. growth projections remain weak compared with recoveries we’ve seen in the past,” Mann said.
O.E.C.D. also estimated that the Federal Reserve will raise interest rates to two percent by December 2016, from a current level near zero.
Yet the United States economy is outperforming nearly all other advanced industrial nations.