Posted on 10/16/2022 2:52:04 AM PDT by EBH
The International Monetary Fund is warning that the world is in for a rough ride, with more than a third of the global economy forecast to contract over this year and next amid a cost-of-living crisis fueled by inflation and exacerbated by factors such as Russia’s war in Ukraine.
For most people, it will feel like a recession.
“The worst is yet to come,” said the fund’s Chief Economist Pierre-Olivier Gourinchas. Speaking to a packed press conference Tuesday to launch the latest World Economic Outlook, he had a grim warning on global inflation, saying it is expected to peak at 9.5% this year and will remain elevated for longer than previously forecast.
The world is in for one of the worst periods for economic growth in the last two decades, surpassed only by the 2008 global financial crisis and the start of the COVID-19 pandemic, according to the report, which was released as finance ministers and global leaders gather in Washington for the World Bank-IMF annual meetings.
Global growth is forecast to sharply decelerate from 6% last year to 3.2% this year and again slow next year to just 2.7%
Who’s hit hardest: IMF has broad worries, but it warns that inflation will hit the lowest-income people and countries the hardest. Climate change in a time of uncertainty is only adding to the risks.
“Extreme weather events might undermine the global food supply, placing upward pressure on the prices of foods that make up a large part of diets, with dire consequences for the world’s poorest countries,” IMF wrote in the report, which dedicated a special section to the food price shocks.
Moreover, IMF is warning that the repercussions won’t just be short-term. Many lower-income nations are expected to suffer economic woes “for years to come,” especially those that have not fully recovered economically from the COVID-19 pandemic, those where schools were shuttered for longer periods, or those hit by consequences of the war in Ukraine.
What’s next: IMF says risks remain tilted to the downside, meaning things may get even worse than the baseline forecast. For example, next year has a chance of seeing growth sputter to below 2%, an historically low level that would be a real cause for alarm. There is a possibility it could be even worse.
Further, food and energy shocks remain serious risks, especially with the U.S. dollar getting stronger, pushing up inflation. The energy crisis is likely to have serious ramifications, with IMF keeping a close eye on Europe.
“Winter 2022 will be challenging, but winter 2023 will likely be worse,” Gourinchas said.
Right, they mean depression.
Due to climate change, not government policies. Of course.
[and exacerbated by factors such as Russia’s war in Ukraine.]
Yeah, that’s why Joe had to cancel the Keystone Pipeline.......(rolls eyes)
And Pete WhatAGig got pregnant.....
Now, don’t bring up timelines and stuff!
It’s not Joe’s fault!
C’mon man!!
[“Winter 2022 will be challenging, but winter 2023 will likely be worse,” Gourinchas said.]
And Winter 2024 will be worserest........
Klaus Schwab wants you to eat bugs by the non-carbon-producing, gender-neutral campfire.
Prices of houses are out of reach of many people.
Stock millionaires are a small minority.
To get back to growth, house prices must be adjusted to match household incomes.
This is deliberate attack by the globalists in control
Are they ever right about anything?
(My guess is that either the world IS already in a recession, and it would have been nice for them to have predicted it 8 months ago, or the world is heading into a depression that they can't see.)
No surprise there. Rat Party Governors brought the US economy to its knees for 2 years. IIRC the same thing happened in Europe...but I’m not sure about Japan. Of course those actions will bring horrible consequences...for generations to come.
ahhh......au contraire mi amigo (frog-mex lingo)
The return of the housing market will be the result of increases in wages and salaries. That is there will be wage inflation lagging the goods inflation. Thus, the money to buy houses will become available.
The inflation is politically necessary by many nations to reduce their national debt. Inflation decreases the value of the currencies. The debt is fixed and thus decreases as the value erodes by the inflation devaluation.
When princes went to school to become king, Inflation 101 was always a required course.. Kings have been ridding their debt with inflation devaluation since the beginning of Kingdoms
That old pervert will vapor lock long before I sit down to eat a plate of bugs.
What a BS report. Notice not one word about the root cause of all of this, the west’s energy suicide. Not one word about the cure, stop committing suicide.
.
....and transphobia, mean old white male supremecists, maleness in general,
mean tweets, insectophobes refusing to eat bugs, et-cetera...
Round up the usual suspects.
All of this has NOTHING to do with governmental or FED policies.
Nothing at ALL.
Pssst - Hey somebody hit the 'Express-Print-Fiat' button -
we need a few dozen-trillion more to plug the holes in the
hull of the leaking and sinking USS World Economy.
Do it NOW!
It'll WORK this time - promise...
The economy is first and foremost local. Look around you. How dependant are you on imports? Can you survive a few months when the supply change is no longer operating? Will your savings be worth anything when the shelves are empty? “You know then how to discern the face of the sky: and can you not know the signs of the times?”
All according to plan.
It’s the weather.
It’s the war in the Ukraine.
Blame everything but what it is; government collusion and corruption.
They love to tip everybody’s hand and give us a “heads up”.
I’d say it’s coming based on what I see at work.
Supply chains are insane right now.
The Democrats are tryng to so damage our energy generating capability that even Trump will not be able to correct it.
The IMF will offer and take no responsibility for any part of this nightmare that has transpired and accelerated since November of 2020. But we know the truth.
Corrupt foolish ideology has caused this.
.
When that happens I will utilize my 'lead savings' to deal with
the deer that are eating my tomatoes.
I will then have both venison AND tomatoes.
(But the deer repellents that I am using seem to be having some effect.)
So I just have to wait for the time when if my neighbors
complain about the noise, they know that they will NOT
get any venison chops from me. But that time has not yet come.
Pragmatic, am I not?
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