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Chapter II. the World Economy

Published online by Cambridge University Press:  26 March 2020

Extract

After four successive years of declining rates of economic growth in OECD countries, a fifth in 1981 now seems quite likely. The ‘second oil shock’ of 1979 must take much of the blame for the particularly slow growth this year and last. But in the year in which it occurred any depressive effect may well have been quite small, as it seems to have encouraged stock accumulation in anticipation of more rapid increases in price levels generally. And even before 1979 output had been rising much more slowly than in the years preceding the first ‘shock’ of 1973-4.

Type
Articles
Copyright
Copyright © 1981 National Institute of Economic and Social Research

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References

(1) R. A. Batchelor, R. L. Major and A. D. Morgan, Indus trialisation and the basis for trade, Cambridge University Press, 1980, pp. 118 and 238-9.

(2) National Institute Economic Review no. 94, November 1980, pp. 7-8.

(1) Economic Outlook 27, p. 122.

(1) To this end we have drawn quite extensively on recent OECD Economic Surveys and on the Japan Economic Research Centre's Five-year economic forecast 1981-85.