Pakistan, Oct. 11 -- The global economy is still being shaped by two persistent problems: weak growth and inequality across the world. While each of these issues is difficult to address on its own, when they intersect, the consequences are far greater than what standard economic indicators can capture. Colonial legacies, trade disparities, and unequal access to technology have shaped the present world order. Now, when economies contract, these underlying problems intensify, undoing fragile progress made in reducing poverty.

An economic slowdown is a period when growth decelerates. It is marked by rising unemployment, falling consumer demand, reduced industrial activity, and lower investor confidence. Recessions are formally defined as tw...