Recession Global

Aggressive spending by Governments to support the financial sector helped the world avoid a second Great Depression, but a full economic recovery will have to wait another two years.This is Nobel Prize winner in economics Paul Krugman publishes agency Associated Press. The economist believes that the worst time of global crisis has passed, as evidenced by the stabilization in terms of economic growth and exports, but so far there is a risk of new problems in the health of the world economy, since the costs of governments were not durable, and employment has lagged behind other economic indicators.Krugman notes that the rapid economic recovery is expected. «We have managed to avoid a second Great Depression, but a full recovery you need to wait at least two years and can and more», - commented Krugman. The growth and recovery in Asia will be more rapid than in Europe and the United States, because the region is well developed export-oriented production.The Economist pointed to the need to restructure the global financial system and to control it more tightly to avoid a repetition of the economic crisis, but he noted. that now the momentum for reform is weakening. «We do not have the political will to change it. I have a suspicion that the smart people, using the financial system may well make the next year », - explained the economist.