today’s global economy, it runs the risk of having to go back to the “Great Depression” of the thirties, and the most severe economic depression of the thirties. That is, the head of the international monetary fund (IMF), Kristalina Georgieva, said Friday at a meeting at the Peterson Institute for International Economics (PIIE) in the Us capital, Washington dc.
Georgieva, comparing today’s global economy, the roaring twenties, a period of economic growth coupled with the booming beurskoeren, but growing economic inequality. The roaring twenties were, in the end, the end of the stock market crash of 1929.
The new IMF head, states that the economic disparities between the countries in the last two decades, has been reduced, but inequality within countries, especially in the increased. Georgieva called for the United Kingdom as examples of countries with rising inequality. “The UK has the world’s richest 10 per cent of the population in the same amount of power as the bottom 50 per cent,” according to the IMF, the chairman and ceo.
“In some ways, this troubling trend, we are reminded of the early part of the twentieth century, when the combination of technological advancement and integration has led to a period of economic prosperity, the roaring twenties, and, ultimately, an economic disaster,” said Georgieva.