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As attention shifts to fiscal consolidation, sustaining output growth will depend increasingly on private domestic demand, requiring reforms, particularly in the labour market and the non-manufacturing sector.
Iceland’s main banks, which had pursued risky expansion strategies, failed in the wake of the global financial crisis, plunging the economy into a deep recession. Prudential supervision needs to be improved.
Despite improved fundamentals, Mexico is hit hard by the financial crisis, being exposed to several simultaneous external shocks. A welcome, but weak, stimulus was passed for 2009, and policy will likely need to be supportive also in 2010.
Austria entered the most severe recession in decades. This triggered prompt policy measures to stabilise the real economy and financial markets, which will deteriorate significantly the fiscal position.
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Special chapter from Economic Outlook No. 85, June 2009.
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An extract on housing from the OECD Economic Outlook No. 84's general assessment.
Notes to statistical annex tables 38-54, Sources and Methods of the OECD Economic Outlook.
The OECD projections are conditional on a set of technical assumptions, which comprises: unchanged exchange rates, as of a given date; unchanged fiscal and monetary policies; and a projected path of oil and non-oil commodity prices.
Bibliography of the Sources & Methods of the OECD Economic Outlook.
Notes to statistical annex tables 55-63, Sources and Methods of the OECD Economic Outlook.