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Economic growth is slowing in developed nations.
Economic growth is slowing in developed nations.
(Stock photo/iStockphoto / Getty Images)

Why scouring the globe for growth is foolish

The world’s major developed countries and some of the larger emerging economies are facing a broad slowdown that threatens the still fragile global recovery, prompting investors to widen their search for pockets of growth.

Signs of renewed weakness have been cropping up across the developed landscape, as officials revise overoptimistic growth forecasts and inflation falls, in some cases to dangerously low levels. The Bank of Canada recently trimmed its economic outlook to 1.6 per cent for this year and 2.3 per cent next year, while removing its bias toward higher interest rates.