OECD Warns of Low Growth Trap

The OECD criticizes governments for over-relying on monetary policy and urges them to increase spending and investment to boost trade and economic growth. The organization highlights the need for developed nations to address negative interest rates and improve credit flow, especially for small and medium enterprises. The transcript also touches on the economic implications of Brexit and concerns about the global commodity cycle, emphasizing the need for governments to take action.

What does the OECD suggest governments should do to stimulate economic growth?

• Reduce trade barriers

• Boost spending and investment

• Rely more on monetary policy

• Increase taxes

According to the OECD Secretary-General, what is the current growth rate of investment?

• 3-3.5%

• 5%

• 1%

• 7%

What challenge do small and medium enterprises face according to the OECD?

• Increased competition

• Tightened credit conditions

• Lack of skilled labor

• High taxation

What economic risk is associated with Brexit according to the OECD?

• Potential isolation from the EU

• Higher interest rates

• Decreased consumer spending

• Increased inflation

How has the OECD adjusted its growth outlook for the United Kingdom?

• Increased it

• Cut it

• Kept it the same

• Doubled it