The difficulties of the global economy.

The global economic recovery is loosing speed, leaving the euro zone attached with a mild recession and the United State in the risk of following in this path, said the OECD on this Monday,cutting forecast strongly.
The threat of further deterioration if the body will get the euro zone does not deal with its debt crisis and U.S. lawmakers fail on getting an agreement to reduce cost, to the OECD warned.
In the absence of decisive action by leaders of the euro zone, the European Central Bank (ECB) alone has the power to contain the crisis of the block, said the agency, based in Paris. In the United States, however, the Federal Reserve has little ammunition available.

While the strong growth in emerging economies provides some momentum, the fall in global trade should reduce production in China, the OECD predicts.

In the semi-annual Economic Outlook document, the agency estimates that the growth of Gross Domestic Product (GDP) will slow to 3.4 percent in 2012, up from 3.8 percent this year.

It is a sharp drop against the previous forecast in May, when the OECD estimated that the world would grow 4.2 percent this year and 4.6 percent in 2012.

Struggling to contain an unprecedented debt crisis, the euro zone has entered into recession and will record a weak growth of just 0.2 percent in 2012, according to the OECD, reducing its forecast before the estimated growth of 2.0 percent given in May.

My opinion about the story:

I already told in this blog about the difficulties that the European nation is passing through right now, and of course when one part of the world have a economic problem that will affect other parts, and that is what is taking place right now.

I really do not care that they take a really drastic decision if that leaves us to a safer zone than the one that the world is locked right now.