Eurozone economy slows down significantly
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Early predictions about the growth opportunities for the eurozone economy have completely failed. Indicators show a decline, while inflation data are at their highest according to statistics over the past six years.
GDP fell to 0.3%, which is the lowest in the last two years. Speaking about the situation in individual countries, economists note that none of them has been able to reach the previously set targets. Taking into account the reasons for this situation, experts highlight the lack of stability in the field of trade. Some even call the situation a trade war. And if domestic demand manages to keep the same positions, then its decline in export supplies has significantly hit the business sector of the eurozone..
In addition, experts are worried about the uncharacteristic indicators of inflation growth, the excessive activity of which is not typical for the current period of stagnation. If we turn again to the calculations for the last six years, we can see a record rise in prices, which amounted to 2.1% (previously it did not exceed the 2% mark). At the same time, the American economy, on the contrary, demonstrates a significant improvement in its «health». Trump managed to speak out on this matter, immodestly calling the rise historical.
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text: Evgeniya Likhodey, photo: Etienne Ansotte / EC — Audiovisual Service