BluDanuBlog

Yesterday’s Wall Street Journal reports that the World Trade Organization is predicting a decline of at least 9% in world trade for 2009, the most pessimistic forecast in the organization’s history. What happens next depends on political leaders’ ability to resist protectionist temptations.

Edward Hugh at “A Fistful of Euros covers several recent forecasts of German GDP for 2009, predicting a contraction of anywhere from 4.3% to 7%. Ouch. ”It is also rather worrying that, with elections looming, Germany’s leaders seem to be in serious denial on all of this.”