Not all times are the same, for life is supposed to give you a taste of everything. Well, it looks like five giant economies are currently at the risk of collapsing by recession. Just a little not-much-effort-needed push and they will fall face first over the edge.
Well, the unexpected turn of events is plaguing British, Germany and many more friends of it!
World is not as stable as you guess
According to latest statics, British economy has shrunk during the second quarter and things are going downhill since then. The growth line went flat in Italy showing a drastic fall and stark risk of recession. While, Wednesday’s published data says that the economy of Germany, contracted miserably in the last three months.
It won't take much to push the UK, Mexico, Germany, Singapore, and Hong Kong over the edge. https://t.co/YhHwOAMID5
— CNN (@CNN) August 14, 2019
If the bottom line of Germany’s economy be taken into consideration then the world’s fourth largest economy is teetering the edge of depression. Mexico recently saved itself from a similar event after suffering contraction in two consecutive quarters.
‘It’s a big deal’.
We asked our economics editor @EdConwaySky if we should be worried that the UK economy has contracted for the first time in seven years.
— Sky News (@SkyNews) August 9, 2019
However, Brazil doesn’t appear to be in a state of being able to dodge a recession after its second quarter data analysis. Looks like the giant economies which once stood tall and proud and currently crowding the near-recession line.
Recession: Who all are in for great trouble this time?
Mexico, Britain, Germany, Brazil and Italy all are rank holders in the world’s 20 largest economies. Even Hong Kong and Singapore who are much smaller yet critical hubs are inflicted by the plague of recession. The reason of drop remains almost the same for all and no one is able to find a solution for it yet!
The sharp and significant drop in business confidence remains a major factor for trouble while the world-wide manufacturing slump is adding fuel to the already blazing fire. Even China has not been left unaffected by the causes.
5 big economies at risk of recession – https://t.co/jH0SOPtL3y
— Patricia Arquette (@PattyArquette) August 14, 2019
Even though the situation of the country is not as bad as of its neighbors it’s still suffering silently. The economic growth of China is at its slowest pace since last 3 decades. Well, China has its own reasons of suffering the major among them being it’s long-winded trade war.
“This is a big policy mistake. We get recession because of policy mistakes like this,” said Allen Sinai, chief economist and strategist at Decision Economics. https://t.co/jn8eS2NFE8
— lori montgomery (@loriamontgomery) August 6, 2019
Investors remain worried with sleepless nights as things go more and more out of hands. Let’s see how far things will go this time. Before all is set back to right!