The world economy in 2002 Michael Roberts, our economics correspondent looks at the prospects for the world economy in the year 2002. Barely a year ago, the world's leading economic and financial organisations and most economists predicted that the U.S. economy would grow by 3.5% in 2001 and by a similar rate in 2002. Considering that new data show an economy that is rapidly deteriorating right across the board, a final outcome of less than zero growth until year-end 2001 presently seems the best bet. The question now is not whether the world is in recession but how long it will last and how deep it will be. And yet optimism reigns in the stock markets as we start the New Year. This is the optimism of fools.
The decade of deflation and depression The overriding economic factor for the first half of this decade will be deflation i.e. an economy where prices are falling. Deflation is going to affect every area of the world capitalist economy, particularly profitable investments.
Enron - Imperialism in Action The ignominious collapse of Houston, Texas-based Enron is a powerful reminder of how "business as usual" is conducted in the epoch of capitalist decay and imperialism. This formidable downfall has had far-reaching effects, and there are many lessons that the working class can learn from it. By John Peterson, editor, Socialist Appeal (USA).
