Real convergence - as suggested by growth theory - seems to work if the right conditions are in place. At the same time, advanced economies, most notably west and east European countries, have lost significant market shares in world production. Slow population growth, modest gains in productivity and the breakdown of the former Communist planned economies have hampered their economic performance.
In all my interaction with HR professionals in banks, I am told that lack of people is the biggest challenge. Obviously, finding enough people in one of the most populous nations in the world cannot be a challenge. So, what they actually mean is that they are saddled with too many non-performers. 7.