A Portait Of Global Economy

aA PORTAIT OF THE GLOBAL ECONOMY
The national accounts record the sources if economic growth; the balance of payments, the flow of goods and services between countries. The fiscal and monetaryaccounts, interest rates and exchange rates reflect the domestic and international forces acting on the economy and responses of politicians and policymakers.
Macroeconomic statistics: show the health ofan economy and the quality of macroeconomic management, viewed across countries; they reveal the many varied patterns of development. Together they inform citizens, businesses, and governments ofresults of their efforts and guide them in their future choices.
LONG THERM TRENDS
Developing economies are expected to continue growing faster than high-income economies thanks to labor surpluses,higher returns to physical capital, and ready access to technology already developed and amortized in high-income economies. Average growth of low- and lower middle-income economies has been rising,surpassing that of upper middle-income and high-income economies in the last three decades. Some of the most successful economies are now classified as high-income. But poverty traps, exclusion fromglobal markets, internal conflicts, resource constraints, poor policies, and market failures have limited growth and poverty reduction in low-income economies, especially in Africa.
BETTER POLICIES TOACHIEVE MACROECONOMIC STABILITY
Developing economies are running lower fiscal and external deficits, accumulating larger reserves, and pursuing more prudent monetary and fiscal policies. These policiesmean less vulnerability and volatility and increased investor confidence; better fiscal, monetary, and exchange rate policies have reduced inflation in most developing countries. These shocks alsorevealed the importance of reliable, publicly available data for monitoring governments and private agents. Better macroeconomic management has also lowered real interest rates in many developing...