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Sat 06 Jun 2009'Getting worse more slowly'

THE GLOBAL economy is “stabilising”, but could still face into at least a decade of stagnation, according to Prof Paul Krugman.

Addressing a Merrion Stockbrokers forum in Dublin, Prof Krugman said that while the world was in “one hell of a crisis”, the situation appeared to be settling. He likened the first year of the current crisis to the first year of the Great Depression but said the second year would not maintain this pattern.

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