A significant proportion of economic activity occurs but is not captured by official GDP statistics in countries around the world
Since March of 2021, every month but July and December has seen steady growth. The two negative months have had almost no effect on the general trend of consistent and steady growth.
Investors have flocked to those sectors which they believe will benefit from lasting post-pandemic trends, and avoided those that have proven less resilient – with Information Technology up 29% at one extreme, and Energy down 41% at the other.
Despite the unprecedented and, as yet, incalculable, cost of government measures, the OBR have stated that ‘we can be confident that the cost of inaction would ultimately have been much higher.’.
Researchers from Imperial College London predicting that ‘transmission will quickly rebound if interventions are relaxed.’. If this causes reintroduction of measures, then a double-dip recession looms. Indeed, should the spread of the virus maintain this pace, a sustained decline is
Over the past 40 years, government debt as a proportion of GDP has predominantly remained in the 30%-50% range. This trend ended with the financial crisis, after which government policy has been centered on reducing the debt to GDP ratio…