A recent survey showed that the economy of Australia is continuously sliding as a result of the global financial crisis.

According to Westpac and Melbourne Institute, the economic activity of Australia only increased 0.3 percent during the month of March. And only during the first quarter of this year, the activity went down by more than 5 percent!

Experts said that they are expecting a slow growth in the economy of Australia in the following six to nine months. This is the point of view of the senior economist of Westpac, Matthew Hassan.

Australia had a weak foundation in 2009 (considering the index that was read in February). Aside from that, their 2008 also had a negative growth despite the shopping season during December.

People might have new hopes about the economy’s improvement but the Economic Policy Institute thinks otherwise.

From the report of Larry Mishel, the president of EPI, this instability in the economy may continue for several more years to come. There will be more and more people who will be unemployed and will cause so much hurt in the financial constancy of the market.

But thanks to the 2009 stimulus package, the unemployment rate will be lower than 10 percent. Without the stimulus funds, it is possible that the rate will reach more than 10 percent or even bigger.

If this happens, many families would not be able to survive the recession. A relief for the current worldwide financial crisis must be found or else more and more people will suffer.

By the time that world experienced the first hit of economic crunch, many analysts and economists thought that it would be the country of China that will feel the toughest hit of the recession in Asia. This is because China gets most of its revenue and depend a big part of their income from exporting products going to the western countries.

But it was not China that is now considered as the Asian country that had the biggest blow from the global economic crisis. Surprisingly, it is Japan – the country in Asia that is considered as the number 1 ally of United States in the said continent.

The GDP of Japan decreased by as much as 16 percent. How did this happen? More than half of the country’s economy relies on manufacturing electronic devices, cars, and alike to other countries including U.S. And because there is a decline in the number of consumers purchasing their products, the production also slowed down as well.

Today, the infamous car manufacturing company already temporarily closed its plants in Japan for 41 days so that they can slash expenses and inventory. Aside from that, Sony is also laying off more than 10,000 employees in the country at the same time.

One of the most world-renowned economists today who have won a Nobel Prize is Paul Krugman. Recently, he said in a seminar that the global market has avoided an incoming catastrophe. He also mentioned that it is possible that the industrialized countries may experience economic improvement and growth before the year 2009 ends. Krugman actually expects that this growth may happen within two to three months from now.

It is likely that the United States as well as Europe may start from zero and have gradual positive growth by Q3 to Q4 of 2009. However, the great economist said that he does not agree with the bailout plan of the current administration so that banks and other financial institutions can get more than a trillion of assets.

Governments of some of the most powerful countries all over the world recently announced that their economies are now experiencing major contractions particularly the past few weeks. This includes Japan and United States. Moreover, their statements about the Q1 or the first quarter income of their economy also have one thing in common – great reduction in the income when compared to the Q1 of 2008. Even without the help of the experts, one can immediately understand that this is a real sign that the global economic crunch is getting worse.

But with all the news that the economy is now trying to get back on track and up on its feet, many people are becoming more and more confused regarding the real deal about the economy. Do you think that the economy all over the world is really enduring all the punches that health, finance, medical, etc., has to throw?

If consumers like you are really feeling comfortable about the way things are currently going, it is likely that you would be spending more money right now. Unfortunately, most of us still think that the global economic crisis is still declining and currently on its way to a huge freefall.