Chapter 1: Macroeconomic Conditions and Outlook

Chapter 1 provides an in-depth analysis of the economic situation of the European Union and the world, as well as forecasts where possible - the latter is particularly difficult in times of corona, as time horizons are short and uncertain and measures change as the virus evolves. In the first half of 2020, global gross domestic product (GDP) fell by almost 10 percent, but economic production picked up strongly in the summer of 2020. However, it was still more than 2 per cent below pre-crisis levels in advanced economies in the third quarter and then the second wave hit. The chapter specifically looks at regional differences, which were fairly pronounced in the different countries.