In the Governing Council’s assessment, the risks to this economic outlook are still slightly tilted to the downside, with uncertainty prevailing. On the one hand, global trade may continue to grow more rapidly than expected, thereby supporting euro area exports. On the other hand, some concerns remain relating to the re-emergence of tensions in financial markets.
We see a lot of evidence that such investments have actually trended upward. In particular, workers with high educational backgrounds and those engaged in research and development have both increased in major industrial countries. Interactions between trend growth paths and business cycles Growth theory tends to focus on the trend growth paths in the long run. Observed growth paths, however, are not smooth.