WORLD ECONOMY-Dark Spots

Dark Spots THE world economy is in disarray, notwithstanding the selective recovery last year from the global recession of 1990-93. World GDP in real terms grew by about 3.7 percent in 1994, which was the highest growth in five years and was in line with the long-term trend growth of around 3.5 per cent. The growth rate achieved in 1994 compares with rates in the range of 1.3 to 2.5 per cent in the previous four years. All the same, there are a number of disturbing elements in the world economic scene which should have bothered the leaders of the Group of Seven industrialised countries when they met at Halifax, Nova Scotia, but from all accounts they skirted the crucial issues.