This could get ugly

In: Uncategorized

18 Oct 2011

News that China’s growth rate is slowing comes at a bad time for the world economy. Hopefully it is just a dip but some, such as Lombard Street Research, are arguing the Asian giant is entering a period of stagflation (stagnation combined with high inflation). Such a development would be bad news at any time but is particularly serious with the eurozone teetering on the edge of crisis.