The European economics are growing are a super fast rate. This has relieved the economists from the fear that the world was going to encounter another phase of slump. The 1st quarter growth for the economy was 0.4% as compared to past 3 months; these are the countries which use euro. This data has been published on Tuesday. This is double the rate of growth which was seen in the 4th quarter of 2018.
Economists across Europe were surprised with this high rate of growth. They informed that this quick growth was due to lower rates of employment, rise in the wages and better customer demands for goods. This has given a good economic shape to the superpowers of the globe.
On the other hand, China seems to be low in this regards. The economy lacked momentum due to risky lending issues and the trade battle going on with United States. Beijing has strategized to combat the slump with tax reductions, infrastructural projects and a flexible monetary policy. With all these measures China is again at the top of its economic growth, with a rate of 6.4% during the 1st quarter of this financial year.
United States also saw an improvement; the growth rate was 3.2%. The main reasons stated for this positive growth rate is more government and local spending, Lowe number of imports and decent amount of business inventories.
It was suspected that Brexit might derail the British economy. As it has been postponed till October of this year, the UK is in good shape too. Florian Hense, who is an economist at the Berenberg bank, informed that the current picture suggests that 2019 will be a good year for the economy. He also said that the recent ease in the US and China trade relations also led to a positivity in the economy.