Does the growth slowdown result from weak domestic demand or weak export capacity?
We look at the United States, the four largest euro-zone countries and China. Does the current slowdown in growth in these countries result from: Weak domestic demand? Weak export capacity (either a supply-side problem in these countries or weak global trade)? It is important to bear in mind that weak exports can also lead to weak productive investment. We then see that: Weak domestic demand explains the current weakness of growth in the United States, France, Italy and China; Weak export capacity explains the current weakness of growth (both causes are present in some countries) in the United States, Germany, Spain and China.