Global economic agency urges more infrastructure spending
An international economic agency says the kind of infrastructure spending promised by U.S. President-elect Donald Trump could boost global growth, but is warning that protectionist tendencies will hurt prosperity.
The Organization for Economic Cooperation and Development overall hit an upbeat note in its latest world economic outlook Monday, thanks in part to stimulus efforts planned in the U.S. and China. The OECD raised its forecasts for global growth to 3.3 percent for next year, up from 3.2 percent in its last outlook.
After years of low growth, OECD chief Angel Gurria expressed hope that "the global economy may be at a point of inflection," as low interest rates give governments more freedom to lower taxes and spend on infrastructure and education.
Gurria warned, however, against "the pitfalls of protectionism."