With continued questions as to the efficacy of bailout efforts and concerns regarding sovereign debt levels for many developed economies, 2011 does beckon to be quite an interesting time. Uncertainty regarding continued market appetites to continue purchasing new sovereign debt could cast a pall over markets in the coming months as countries' debt to GDP ratios continue to climb. Even with these trends in place, estimates of global GDP in 2011 anticipate global growth ranging from a high estimate of 4.6% to a low of 2.3%, with an average of the forecasts evaluated of 3.7%. By tightening its monetary policy, China would follow in the steps of other Asian countries that have already responded to inflationary pressures by increasing interest rates. The next decade will likely witness changes in the sources of global growth. Advanced economies as a group will account for less than 1.0 percentage point of global GDP growth from 2010-2020; 3.4 percentage points will come from emerging economies.
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