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Review of the quarter's economic trends [July 1976]

Bell, David N. F. and Carruth, Alan and McGilvray, James W. and O'Sullivan, N. and Simpson, David R. F. (1976) Review of the quarter's economic trends [July 1976]. Quarterly Economic Commentary, 2 (1). pp. 1-5. ISSN 0306-7866

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    The initial recovery phase of the leading economies in the second half of 1975 occurred at a fairly leisurely pace compared to past experience of the upturn. However, the first quarter of 1976 has seen industrial production expanding rapidly in most countries, with an expected rise of 10% over the same period last year. This increases momentum in the world economy has led to revision of official forecasts of many important indicators. The volume of world trade is now expected to rise by 10% this year. Total output, which fell by 1 ½% last year, should increase by 5% this year. Inflation in most countries is now in single figures on an annual rate basis. Profit levels have improved considerably: so far there is little evidence of a recovery in investment in plant and machinery.