What Is the Organization for Economic Cooperation and Development?

Organization for Economic Co-operation and Development (English: Organization for Economic Co-operation and Development; French: Organization de coopération et de développement économiques), OECD for short, is an intergovernmental international economic organization composed of 36 market economy countries , Aimed at jointly addressing the economic, social and government governance challenges brought about by globalization, and grasping the opportunities brought about by globalization. Founded in 1961, it currently has 36 members and is headquartered in Paris.

Organisation for Economic Co-operation and Development

Organization for Economic Cooperation and Development

The purpose of OECD: to promote the economic and social development of member countries and promote world economic growth; to help member governments to formulate and coordinate related policies to improve the living standards of member countries and maintain relative financial stability; encourage and coordinate member countries Make efforts to assist developing countries, help developing countries improve their economic conditions, and promote the economic development of non-member countries. ^[1]

On January 11, 2010, Chile officially signed an agreement to join the Organization for Economic Cooperation and Development, making it the 31st member country of the organization; meanwhile, the Organization for Economic Cooperation and Development announced on May 10, 2010 that it agreed to absorb Estonia, Israel and The three Slovenian countries are new members, increasing their membership to 34.

The staff of the OECD Secretariat in Paris conduct research and analysis at the request of the 36 member states of the OECD. Representatives of Member States meet and exchange information in committees working on important issues. The council is OECD

1.With the World Bank and the International Monetary Base

Publications include "OECD Activities" (Secretary-General's Annual Report); "OECD Observers" (bimonthly); "Financial Statistics"; "OECD Economic Research" (Annual Reports of Countries); ; "OECD Economic Outlook" 2 issues per year; "Main Economic Index" (monthly); "Development Assistance Progress and Countermeasures" (annual report); "Agricultural Outlook" (annual report); "Energy Balance" (quarterly); "Financial Market Trends (3 issues per year); Higher Education Management (3 issues per year); OECD Employment Outlook (annual); Science, Technology, and Industry Review (2 issues per year), and various professional reports , Work report, etc. ^[1]

Meaning: A tool to predict business activity in the world's largest economy.

Release time: noon (Continental European time); data are released on Friday of the first week of each month, reporting on activity two months ago. (For example, the January release reports November's leading indicators.)

Frequency: Once a month.

Source: Organization for Economic Cooperation and Development (OECD)

Correction: Last month's data is usually corrected in new releases.

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Organisation for Economic Cooperation and Development forecasts the world economy: 2017 growth of 3.3%

On March 7, 2017, the Organization for Economic Cooperation and Development (OECD) made a forecast for the world economy: an increase of 3.3% in 2017 and 3.6% in 2018, the largest increase since 2011. The organization believes that the current downturn in international trade, weak investment and protectionism are the main obstacles to world economic development. If countries adopt more active fiscal and taxation policies, the world economy is expected to maintain a moderate growth rate.

The OECD believes that due to Trump s huge investment in infrastructure construction and other policies, the US economic growth rate will increase from 1.6% in 2016 to 2.4% in 2017 and 2.8% in 2018. The 2017 forecast for the UK economy increased from 1.2% to 1.6%. At the same time, taking into account factors such as increased inflation restricting consumption and the uncertainty of businesses after the Brexit, the UK economy will not increase investment. In 2018, the UK economy grew by 1%. The EU is expected to grow 1.6% this year and next. For emerging economies, China's debt burden has increased risks, and GDP will fall from 6.7% in 2016 to 6.5% in 2017 and 6.3% in 2018. India will increase from 7% in 2016 to 7.3% in 2017 and 7.7% in 2018. Brazil's economy showed negative growth in 2017, will have zero growth in 2018, and will grow by 1.5% in 2019. ^[7]

OECD cuts global GDP growth forecast for 2014

The report released by the Organization for Economic Cooperation and Development (OECD) on November 19 showed that the global GDP growth rate for 2014 is expected to be reduced to 3.6%, which was previously estimated at 4.0% in the OECD report in May. The OECD said that the main reason for the reduction is that the economic conditions of developing countries are gradually weakening. At the same time, the OECD expects the global economy to grow by 2.7% in 2013.

The report shows that the OECD has also lowered its economic growth expectations for some countries in 2014:

Lowered the global GDP growth forecast for 2014 to 3.6%, compared to 4.0% in May;

Lowered China s GDP growth forecast for 2014 to 8.2%, compared to 8.4% in May;

Lower Germany s GDP growth forecast for 2014 to 1.7%, compared to 1.9% in May;

The GDP growth forecast for the euro area in 2014 was reduced to 1.0%, compared with 1.1% in May.

The OECD raised its economic growth forecasts for 2014 in some countries:

Raise the UK s GDP growth forecast for 2014 to 2.4% and 1.5% in May;

Raise France s GDP growth forecast for 2014 to 1.0%, compared to 0.8% in May;

Increase Japan s GDP growth forecast for 2014 to 1.5%, and 1.4% in May;

Raise the US GDP growth forecast for 2014 to 2.9%, compared to 2.8% in May.

Speaking of the European economy, the OECD stated that the European Central Bank (ECB) policy must be maintained in a very accommodative state, and the risk of deflation in the euro area has increased. At the same time, it also urged the European Central Bank to be open to negative interest rates and asset purchases.

In addition, the OECD said that the Federal Reserve's cuts in quantitative easing (QE) could pose risks to developing economies. At the same time, the Fed is expected to reduce the size of debt purchases in 2014 and raise the benchmark interest rate in 2015. The OECD said that the uncertainty of the United States' finances is a major danger that threatens the global economic recovery. The OECD urges the United States to develop a long-term fiscal plan. ^[8]

The OECD updates its economic assessment report on March 11, 2014:

The slowdown in major emerging market activities will cause the global economy to grow only modestly at most, and most advanced economies will recover in the next few years, but the Fed will carefully reduce QE and show its intentions to minimize the impact on developing countries.

The OECD also warned that China could experience a "dramatic decline" in the event of debt payment problems.

The OECD points out that increased volatility in financial markets and capital outflows from emerging economies are among the biggest threats to global recovery.

The OECD believes that some emerging economies have exposed weaknesses due to capital outflows and are expected to significantly reduce their growth momentum.

Economies such as Brazil, India, South Africa and Turkey are expected to be forced to raise interest rates to avoid the effects of capital outflows.

As for advanced economies, the OECD believes that the US winter and Japan s increase in excise tax are only short-term factors, and the impact is only one-time.

Considering the uncertainties of the U.S. recovery and the possible impact of reducing QE on developing economies, the OECD believes that the Fed should gradually withdraw from QE in the next two years.

The OECD expects:

· The growth of major advanced economies in 2014 will be lower than in the second half of 2013, but it will clearly outperform the end of the previous year and the beginning of 2013.

Taking into account the impact of bad weather, the US's first-quarter growth forecast was reduced from 3% to 1.7%, which was significantly lower than the previous quarter's 2.4%.

Increase Japan's first-quarter growth forecast from 3.1% to 4.8%, as consumers are expected to shop before the consumption tax increase on April 1, 2014.

Increased Eurozone's first-quarter growth forecast from 1% to 1.9%. ^[9]

On August 11, 2014, the Organization for Economic Cooperation and Development released a comprehensive economic advance index report showing that the overall economic growth momentum of the OECD-covered areas remained stable.

The report said that, overall, the OECD's revised overall leading index has remained at 100.5 points for nine consecutive months since October 2013, showing the momentum of economic growth. The G7 overall leading index remained at 100.6 points from January to May 2014, and fell slightly to 100.5 points in June. The revised leading index of the euro area has been rising month by month since October 2012, reaching 101.0 points in February 2014, and continuing until June 2014, showing that the economic growth of the euro area has stabilized. The report said that France s economic growth momentum has been steadily solid, Italy s economy continues to show an upward inflection point, and the German economy s leading index has declined month by month since February 2014, showing a slight slowdown in growth. As of June, the leading index of the United States after revision was maintained at 100.5 points for two consecutive months. The leading index of the British economy in June was 101.0 points. The leading index of Japan declined month by month from December 2013 and reached 100.1 points in June 2014.

The report also shows that the overall leading index of China, India, South Korea, Japan, and Indonesia has stabilized at 99.4 points in the past five months, indicating that the region's economic growth rate has stabilized. Among emerging economies, China and Russia's leading index in June were 99.0 points and 99.8 points, respectively, which were close to the benchmark level; Brazil's leading index was 98.9 points, which were both slightly lower than the benchmark level.

The OECD regularly publishes comprehensive economic advance indexes of various countries through statistical economic data of its member states and a small number of non-member states to forecast economic development trends about half a year in advance. ^[10]

According to data released by the Organization for Economic Cooperation and Development (OECD), the unemployment rate of the member states of the organization remained at 6.8% in August 2015, a decrease of 1.3 percentage points from the peak of unemployment in January 2013.

According to statistics, the euro area unemployment rate stabilized at 11.0% in August. During the same period, the unemployment rate in the United States decreased by 0.2 percentage points from the previous month to 5.1%, the unemployment rate in Japan increased by 0.1 percentage points to 3.4%, and Canada increased by 0.2 percentage points to 7.0%.

Statistics show that the unemployment rate of young people (aged 15 to 24) in OECD-covered areas fell to 13.7% in August, the lowest level since October 2008. However, the total number of unemployed young people in the OECD region reached 10 million in August, accounting for 23.9% of the total number of unemployed in the OECD region. ^[11]