The topic of IMF’s comedic forecasts and resulting disastrous policy errors has been discussed extensively, and repeatedly, over the years both elsewhere, and here. And while it does no justice to the human tragedy that ordinary Greeks have had to go through as part of 5 years of failed “bailouts” designed to preserve the wealth of German bankers, Greek oligarchs and a few corrupt politicians, the quarterly World Economic Outlook update affords even the most bankrupt Greeks, not to mention everyone else, an opportunity to laugh at what are now 5+ years of truly hilarious economic forecast hockeysticks, even as the reality continues to deteriorate with every passing year.
Case in point: earlier today the IMF released its latest forecast. In it, 2015 global GDP was cut from 3.5% to 3.3% due to previously unforeseen “risks from Greece to China“. Or rather we should say cut again. Here is the history of the IMF’s 2015 global GDP forecast started with July 2014:
But who cares about constantly being wrong right here, right now (aside from 11 million Greeks that is) when your projections keep promising that growth is always “just around the corner” as they do in the following chart showing just why the IMF has now lost all credibility not only as an bailouter of last resort (see Greece), but as a forecaster.
Presenting: over five years of glorious IMF hockeysticks.
But, believe it or not, that’s not the punchline. The punchline is that according to a Bloomberg analysis, when compared to the seven global central banks, the IMF is the best forecaster of all!
The best forecaster of all: the International Monetary Fund. It beat the Bank of Canada, the winner in the rankings, more often than not on growth and inflation.
The Federal Reserve is
Originally appeared at: http://davidstockmanscontracorner.com/five-years-of-glorious-imf-hockey-stick-comedy/