Slump in Exports and Industrial Output

  • Georg M. Busch

The business cycle downturn continued into early 1993. Exports, industrial output and new orders were down by up to 10 percent from their level a year ago. Even if calendar and other effects overstate the slump activity is set to weaken further and unemployment likely to rise above 4 percent of the labour force. Inflation is still close to 4 percent annual rate and the current account just in equilibrium; on both accounts, recent improvements have been insignificant.