Abstract
•The world economy will continue to expand vigorously, growing by 5.0 per cent in 2007 and by 4.8 per cent in 2008.•Americani GDP growth will slow to 2.9 per cent in 2007 ard 2.5 per cent in 2008.•Economic growth in the Euro Area will slow to 2.2 per cent in 2007 and 2. per cent in 2008.•Japanese growth will pick up to 2.4 per cent in 2007 and 2.5 per cent in 2008.•Both the Euro Area and Japan will perform better in the second half of the decade than in the first half because of supply-side impr-ovements.
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