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After two consecutive quarters of shrinking output, the growth in the third quarter ends a technical recession.
China's factory-sector index fell more than expected to 49.6 (a figure below 50 indicates shrinking output) on HSBC's poll.
Germany's economy expanded 0.7% in the second quarter, helping the 17-country euro currency union return to growth after six quarters of shrinking output.
That was a bump upward from the 40-month low of 45.7 in October, but the 10th straight month below 50, a level that suggests shrinking output.
Clearly, some of Europe's central bankers are still more worried about the ghost of future inflation, even as price growth is poised to turn negative for some time, than about shrinking output and soaring unemployment.
Debt burdens shot up because of deflation and shrinking output; nominal GDP fell by 46% between 1929 and 1933.Debt burdens are high today mostly because so much was borrowed in the recent past.
Similar(52)
Greece is still grappling with a record recession that has shrunk output by more than a fifth and pushed unemployment close to 27%, the highest rate in the European Union.
By 2036, the plan would shrink output by between11 percent and 2.6 percent and add between $4.3 trillion and $5.5 trillion to the debt.
If the spillover effect prevails over the substitutability effect, firms are motivated to expand output; otherwise, they prefer to shrink output.
"I think it will be a short, sharp falloff in output, but technically not a recession," which would require two consecutive quarters of shrinking economic output, he said.
Not to mention shrinking industrial output after Thursday's economic numbers showed that industrial production contracted in June.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com