Monday, 18 May 2015
Low prices help consumers drive global economic growth
Business survey data show the global economic upturn being powered by rising spending by consumers on food and drink, as well as a range of services, while industry generally lags behind. The data therefore provide encouraging signs that subdued inflation and lower oil prices are boosting consumer spending power and sustaining economic recoveries in many countries. However, the data are also a reminder that governments cannot afford to be complacent, as global growth could weaken if inflation or oil prices pick up significantly.