IMF, `U.S. Economy Is Uncertain`

The International Monetary Fund (IMF) said on Tuesday that the outlook of the U.S. economy is uncertain and the recovery of the U.S. economy is depended on whether the U.S. maintains the productivity.

The IMF said in the executive directors` annual assessment of the U.S. economy that the U.S. economy more rapidly slowed down than anticipated during the latter half of last year and the early half of this year.

The report said that ``the executive directors were concerned that considering the international importance of the U.S. economy, if the slowdown of the U.S. economy continues, it would affect the whole world including countries which are dependent on exports to the U.S.``

The IMF analyzed that the recovery of the U.S. economy depends on confidence in the consumer and business sectors, which will affect consumption, and the maintenance of productivity that has increased in the late 1990s.

Meanwhile, quoting the experts, the Wall Street Journal reported on Tuesday that the U.S. may record the minus growth rate during the second quarter of this year (April-June). The U.S. announced the 0.7 percent of the tentative economic growth rate.

The Wall Street Journal said that if the GDP of the U.S. decreased compared with the same period of the last year, this could be indicative of the precursor of the economic stagnation. The U.S. government announced the GDP growth rate as 2 percent during the first quarter of this year, and then, later corrected it to be 1.3 percent.

Han Ki-Heung eligius@donga.com