This paper analyses the monetary and fiscal policy implications of output gap estimates in times of crisis. The widening of output gaps observed in major OECD economies in the wake of the recent crisis has been mainly due to total factor productivity gaps, except in the United States where it essentially resulted from a large increase in the unemployment gap.

OECD countries are intensifying their fiscal consolidation efforts, introducing additional measures and extending the time horizon to implement them. Most have announced fiscal consolidation of more than 3% of GDP over the period 2009-15, according to the OECD’s Restoring Public Finances 2012.

After peaking in the first half of 2008, international imbalances declined sharply during the global crisis of 2008-09, in part reflecting cyclical factors such as large contractions in domestic demand on the back of bursting housing bubbles in a number of deficit countries, as well as large declines in cross-border capital flows, interest rates and commodity prices.

Italy’s policy of fiscal consolidation and growth-friendly structural reforms has substantially improved its economic prospects, but the adverse sentiment that the country has faced in the sovereign bond market over the past years has deep roots.

The global economic crisis has had a profound impact on people’s well-being, reaching far beyond the loss of jobs and income, and affecting citizens’ satisfaction with their lives and their trust in governments, according to a new OECD report.

How can we earn back the trust of young people? Improving openness, transparency, accountability, and access to information is essential. On the occasion of the International Anti-Corruption Day and Transparency International’s 20th Anniversary, the OECD and Transparency International are inviting young people for a discussion about how to push the integrity agenda forward together.

Jointly organised by the OECD, Duke University and IRGC, this international conference will identify, evaluate and discuss the relevance and effectiveness of new approaches to improving risk governance, both as they result from responding to and learning from crises, and as deliberate innovations in how regulatory power is exercised and shared.

Financial crises do more than impose huge costs: they have bigger and more insidious effects. We face big challenges in maintaining the supply of global public goods as the world integrates. But these challenges will not be managed successfully if we do not first overcome the legacy of the crisis.

The 6th OECD workshop on Strategic Crisis Management will bring together government crisis managers and practitioners from international organisations, industry and leading think-tanks to discuss the key challenges faced by governments in managing critical infrastructure crises.

Some key facts from the world’s busiest land border as president ramps up pressure

Colombia seeks $1bn in funds as UN aid appeal falls well short of target

With the exodus set to continue, the strains on Bogotá and other governments are set to intensify

Government warns of ‘restructuring’ in return for rescue funding

The country’s banking system is in hock to an insolvent state

Once known for its resilience, the country’s fragile financial system has triggered angry protests

The country is trapped in a full-scale emergency that could unravel social bonds

Remote working has unearthed unexpected challenges — and surprises

Managers need to communicate and connect with staff, and convey they are all in the same boat

As the coronavirus pandemic presents the ultimate leadership test for chief executives, the FT provides insights into their successes and setbacks

Experienced and adaptable bosses are more effective than rigid commanders

Andrew Hill will be answering questions on Monday at 12pm and 5pm

Easy tomatoes, beans and lettuce to sow or plug in the garden or on a patio

Routine operations ban to be eased but capacity to handle virus resurgence will remain

Dr Kate Gaynor’s executive education was soon tested as general manager of a Chinese hospital

UN official warns that war-ravaged country cannot deal with an outbreak of the disease

Funeral homes are full in working class section of Queens where immigrants pursue American dream

Africa’s biggest crude exporter seeks $7bn in emergency funds in face of imminent recession

Claer Barrett explores some of the biggest issues facing small investors with investment columnist Merryn Somerset Webb and Fidelity’s Maike Currie. 

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Entertainment group scraps dividend as executives promise it will weather storm

Consumers who use tax preparation services or software could have to wait months for money

Pandemic boosts shift towards digital wallets and currencies

Maduro’s economic rescue plan offers little hope to people struggling to get by 

Investor blames peso mayhem on ‘massive speculative attack’ and local over-reaction

Efforts to improve diversity and inclusion must not be sidelined as companies rebuild

Around the world a pensions crisis is looming. Retirees are having their pensions cuts while governments and fund managers look for new strategies. Josephine Cumbo, pensions correspondent and Robin Wigglesworth, global finance correspondent tell Claer Barrett why pension funds are investing in riskier assets and what this means for the future of retirement.

Contributors: Claer Barrett, personal finance editor, Josephine Cumbo, pensions correspondent and Robin Wigglesworth, global finance correspondent. Producer: Persis Love

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Popular funds have survived a period of intense market stress

Aircraft maker says strong demand for offering has removed need for government funding

Aero-engine maker prepares for biggest single reduction of staff in more than 30 years

Post-Brexit Britain will need a viable industry to support global role

Airline to axe up to 3,150 jobs and close London Gatwick operations as it scales back to save business

Priority status as grid suppliers helps Orsted and Iberdrola weather drop in demand

Crash into negative prices jolts producers into cutting back

DIY investors and those in pensions drawdown scramble to adapt as stock markets plunge 

Those in pensions drawdown are at risk of  pound cost ravaging

Retirement plans have suffered tumbling asset values and ballooning liabilities

How do democracies measure up against autocratic regimes in handling the pandemic?

It is easy to take advantage of frightened people who have accepted infringements on freedom

Price wars and coronavirus have disrupted the sector, possibly moving peak demand even closer 

Shares in security software maker dropped sharply after revelations of data harvesting

How to navigate government help schemes, the benefits system, redundancy pay and help from banks