ECSC financial report 1986

Abstract

Overall economic growth for the Twelve remained steady in 1986. Gross domestic product grew by 2.6%. a slightly higher rate than in the United States. The index of industrial output rose from 103.5 in 19852 to 1 05.6. an increase of around 2%. approximately twice as much as in the United States. In Japan there was a drop of 0.5%. However. the growth in the production of capital goods slackened distinctly with the index rising from 104.6 to 107.3 (an increase of 2.6% as against 5.8% between 1984 and 1985). while the production index for consumer goods rose from 103.5 to 107.5 (an increase of 3.9% as against 1.8% between 1984 and 1985). These figures reflect the caution shown by investors in view of the considerable drop in foreign demand while the buoyancy of private consumption and the recovery in the building sector have aided general activity. The trend in recent months suggests that the growth in gross domestic product in 1987 will be similar to that of 1986