IMF Chief: World Could 'Face A Lost Decade'
November 9, 2011


"We believe that the world economy has entered a dangerous and uncertain phase," Lagarde said.

"Adverse feedback loops between the real economy and the financial sector have become permanent, and unemployment — as I have just mentioned in relation to the United States of America because it is unusual — has really advanced significantly unabated and remains unacceptably high."


"If we do not act boldly and if we do not act together, the economy around the world runs the risk of a downward spiral of uncertainty, financial instability, and potential collapse of global demand," she said. "Ultimately, we could run the risk of what some commentators are already calling the lost decade."