Global public still negative about economic recovery
City Index September 11, 2014 4:45 PM
<p>Many people around the world are wary about whether economic recovery is going to be sustainable over the long-term.</p>
The global public still needs to be convinced that international economic recovery is sustainable in the long-term, according to a new survey by the Pew Research Center.
There was an overwhelmingly pessimistic perception in most of the nations that were polled, with many of the opinion that they are "heading in the wrong direction".
Additionally, contrary to many of the assertions coming from their respective heads of government, members of the public all over the world believe that "economic conditions are bad".
The most cynical nations include Greece (97 per cent believe economic conditions are less than favourable), Italy (96 per cent), Spain (93 per cent) and Ukraine (93 per cent).
"Concern about the economy manifests itself in widespread and overwhelming worry about a range of economic challenges," the Pew Research Center explained.
"A global median of 77 per cent says both rising prices and a lack of employment opportunities are very big problems in their country. A median of 60 per cent holds the view that the gap between the rich and the poor is a very big concern. And 59 per cent assert that public debt is similarly a very big challenge."
Interestingly, there is clear evidence that many countries are doing better than expected, and accordingly public confidence is high.
For example, last year in the UK only 15 per cent of the public believed that the economy was performing well. Today perception is markedly better, up by 28 percentage points in the last 12 months.
According to PricewaterhouseCoopers, 2013 has been a key year for the British economy, after what was a disappointing 2011 and 2012.
"Given these projections, the UK could overtake France, to become the fifth largest economy in the world before 2020," it said in July.
"Inflation appears to be under control for now, but interest rates are likely to start rising gradually from late 2014 or early 2015 in order to keep inflation around target in the longer term."
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