Chicago — Good times lie ahead for economies around the world, according to an economist with IHS Markit.
"We're going to see the first fully synchronized global economic expansion that we've seen for several years, Zbyszko Tabernacki said Oct. 12 at Global Plastics Summit 2017 in Chicago. The industry event is hosted by IHS and the Plastics Industry Association.
"Economies in the developed world all are performing above potential," added Tabernacki, who serves as senior vice president of economic and country risk for IHS. "And despite policy upheavals, uncertainty is down."
Western Europe should see economic growth of 2.2 percent next year and 1.9 percent in 2018, although fallout from the Brexit vote will hurt economic growth in the U.K., he said. China's economic growth is expected to slow a little, dropping from 6.5 percent next year to 6.2 percent in 2019.
The U.S. economy "is on a solid growth path," Tabernacki stated. Even with the impact of Hurricane Harvey, third-quarter economic growth should be 2.4 percent, with 3 percent growth expected for the fourth quarter and for the first half of 2018.
"Consumer spending is up and businesses are continuing to invest," he added. This growth should push the U.S. unemployment rate down to 4 percent. That seems like a good thing, but Tabernacki said that in previous cycles, low unemployment could signal an overheating economy and signal a recession.