Incomes in more and more developing countries are starting to close the gap with those in OECD countries in the past decade, as we pointed out in our previous posts on economic convergence. In fact, in 65 countries GDP per capita grew at least twice as fast as in the high-income OECD countries, sharply up from just 12 countries in the 1990s. That means more convergence in the global economy. Despite this shift, many countries are still poor or classed as “struggling”. Our map shows which countries have converged and which continue to lag behind.
Economies in many developed countries may be starting to recover slowly from the recession, the jobs crisis looks set to last a while yet. By the end of 2011, OECD countries will need to create 15 million new jobs just to get employment levels back to where they were before the crisis hit. (more…)