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Cyclical Weakening Leading to Higher Unemployment. Economic Outlook for 1996 and 1997

Author

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  • Markus Marterbauer

    (WIFO)

Abstract

The marked deterioration of the international scenario is the crucial element in the revision of the short-term outlook. Exports and domestic investment are clearly losing momentum. Austrian GDP is projected to rise by only ¾ percent in 1996 and by 1 percent in 1997. Slow growth will lead to a further decline in employment and an increase in unemployment to a new record high. The comprehensive fiscal consolidation program of the Federal Government should bring down the general government deficit to its target value.

Suggested Citation

  • Markus Marterbauer, 1996. "Cyclical Weakening Leading to Higher Unemployment. Economic Outlook for 1996 and 1997," Austrian Economic Quarterly, WIFO, vol. 1(2), pages 59-64, May.
    • Handle: RePEc:wfo:wquart:y:1996:i:2:p:59-64
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