Global Strategy Second Quarter Review
We are midway through 2018 and based on McKinsey’s most recent survey of executives’ sentiment on economic conditions, there is an increase in those who are more cautious on economic conditions and prospects for growth. It should not come as a surprise that changes in trade policy is the most cited risk to domestic and global growth in addition to being a risk to their own companies. The Bank of England’s governor, Mark Carney, has warned global political leaders about the costs of putting up trade barriers. Based on the UK’s experience with Brexit as an example, Carney pointed to their recent underperformance as a lesson in the perils of deglobalization.