The global outlook could be worse than 'low for long'

The surest way out would be for governments to work together, while moving to bolster growth at home

At last week’s meetings of the World Bank and International Monetary Fund, I repeatedly heard the same dismal view: The global economy is in for low growth and historically low interest rates for a long time. “Low for long” isn’t even the worst of it. In the event of a new recession, governments have limited monetary and fiscal firepower to stoke demand. The economic and political fallout of a serious downturn could get ugly. Does it have to be this way? Certainly not, if governments address the causes of the current slowdown. Most of the finance ministers, central bankers and