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The Conference Board Economics Watch® European View

Concerns about the Euro Area economy decline as output continues to grow in the third quarter. At the same time, credit conditions are becoming looser, which should spur investment in the European economy. The decline in the euro will also help competitiveness and put some upward pressure on inflation. Overall, the area should reach an annual growth rate of 0.9 percent in 2014. Though this growth rate is not strong, it is also not as bad as many portray European economic growth to be. Yet this is another confirmation that the recovery from past Euro Area crises is likely to be a long and slow one.

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