Since 2013, Lawrence Summers, an economist at Harvard university who is also a former treasury secretary has been using the old idea of 'secular stagnation' to describe the current global economic situation.

There are three obvious traits of a long term economic stagnation: -

(i)surplus of saving relative to investment;

(ii)ultra-low interest rate; and

(iii)lack of demand over a long period of time.

The research team at ANBOUND Consulting is of the view that this means that following the global financial crisis, the long-term economic stagnation is gradually coming true.

The national policy makers, businesses and consumers should make every preparation for the long-term economic stagnation.