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2009 OECD Economic Outlook, Volume 2009 Issue 1

image of OECD Economic Outlook, Volume 2009 Issue 1
This June 2009 issue of OECD's twice-yearly OECD Economic Outlook provides analysis of recent economic developments and economic projections for OECD and major non-OECD countries through the end of 2010. Its comprehensive statistical annex is a useful reference tool for international economic comparisons. This issue finds that a recovery is in sight but that damage from the crisis is likely to be long-lasting.

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Beyond the Crisis

Medium-Term Challenges Relating to Potential Output, Unemployment and Fiscal Positions

The economic crisis will cast a long shadow. The projections described in Chapters 1 and 2 imply that by the end of 2010, even though a recovery is under way, most OECD countries will still face severe macroeconomic imbalances including large output gaps, high unemployment, very low inflation or even deflation and wide fiscal deficits. This chapter considers how such macroeconomic imbalances might begin to be resolved over the medium term, as well as the main associated risks and uncertainties.

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