Lasting recovery in the world economy

Economic recovery has returned to the industrial countries as a whole. However, expansion is moderate. In continental Europe, utilisation of capacity is still below the long-term average. In Japan, under-utilisation of capacity is even more pronounced. At the same time, unemployment has remained high. Elsewhere, though, and particularly in the USA, resources have been exploited to a high degree. Here too, however, wage and price increases remained moderate. Economic convergence is accompanied by a convergence of economic policy—not just in those countries striving to take part in the European Monetary Union. In view of this, how good are the prospects for economic development and for employment in the coming year?