Wage growth, rather than borrowing and financial booms, fuelled demand growth.

The growth of electricity demand will constitute a challenge for many countries in the coming decades.

China s GDP growth fell dramatically, owing to the collapse of external demand.

Second, the Chinese production mix does not correspond to domestic demand, and investment in long products has outpaced demand growth.

Historically, the growth rate for electricity demand has outstripped that for other forms of energy.

We are experiencing a step change in the growth rate of energy demand due to rising population and economic development.

To escape the crisis, Germany used rapid export growth especially to meet voracious Chinese demand.

Over the next decade, growth in this kind of developing country demand will help offset the slow growth of demand in industrial countries.

Since then, however, Chinese demand growth has slowed, and Germany s European trading partners are in even deeper trouble.

Thus, lowering inflation would require reducing the growth rate (if not the level) of these two demand components.

All that is required is that growth in housing supply eventually outstrips investors faith in capitalism to sustain faster growth in demand.

To be sure, the prolonged rapid increase in Chinese aggregate demand has been fueled by an investment boom, as well as a growing trade surplus.

As food supply growth slowed, demand continued to grow, and not only due to population increase.

Meanwhile, global demand for energy will soar as the economies of China, India, Brazil, and other countries grow.

Ongoing private and public debt deleveraging has kept global demand growth below that of supply.

Moreover, any investment growth is vital for Germany, which, according to the latest OECD statistics, currently suffers from the world s lowest share of net investment in national income. Even if Germany remains the world s laggard, rising investment demand as such will contribute to GDP growth, which Ifo estimates at 1.7 in 2006.

Somewhat faster demand growth in Germany and a lower external surplus would help not only Germany s trade partners, but also German savers.

As China grows, its increasing size, wealth, and urbanization will continue to stoke demand for energy, grains, minerals, and other resources.

Due to the rapid growth of its economy, demand for steel has increased at very high rates. The major portion of the consumption growth is attributable to construction applications construction materials are estimated to account for over half of total steel demand.

There is a consensus that these abnormal demand patterns must change in the long term, as China moves to a consumption led growth model.

Many advanced economies must still address the end of the pre crisis growth pattern generated by excessive domestic demand.

That is consistent with the Five Year Plan s goal of basing GDP growth more on domestic demand and less on exports.

As long as China s commodity demand grows at a higher rate than global supply, prices will rise.

Rapid productivity increases in manufacturing had outpaced growth in demand, which meant that manufacturing employment decreased.

The dramatic improvement in demand in 2002 2004 did of course provide an incentive to add capacity, particularly in countries where continued strong demand growth was foreseen.

To be sure, demand contraction was inevitable in these countries, given that they were living far beyond their means no economy can permanently sustain a rate of demand growth exceeding that of GDP.

Not this time. The record plunge in consumer demand during the Great Recession has been followed by persistently subpar consumption growth.

Meanwhile, the faltering European economy and slowing GDP growth in China and elsewhere are impeding export demand.

Public transport options remain inadequate, and demand for private vehicles continues to grow dramatically, in industrialized and developing countries alike.

And yet reliance on external demand remains fundamentally unchanged, even as the contribution of net exports to GDP growth has turned negative.

Moreover, Africa will experience by far the largest growth in energy requirements of any world region in the next 50 years.

But now growth rates for Chinese exports and related indices in manufacturing have fallen, largely owing to weak external demand, especially in Europe.

Faced with weak demand in advanced countries, Asian economies are working to rebalance their sources of growth by shifting toward domestic and regional markets. As a result, growth in intra regional trade has outpaced overall trade growth, with intra Asian trade now accounting for more than half of the continent s total trade turnover.

The Fed has been trying to slow demand growth and cool the housing price bubble to avoid inflation, but carry trade speculators have been easing credit.

Consistent with recoveries from such recessions, demand has grown slowly, despite unprecedented fiscal and monetary stimulus, and that explains why the unemployment rate remains high.

Likewise, food scarcity is a growing problem for Asian countries, with crop yields and overall food production growing more slowly than demand.

So China is stuck in a currency creating cycle GDP growth encourages investment, which boosts demand for capital.

Meanwhile, a dramatic shift occurred on the demand side, as emerging economies grew and became middle income countries. Developing country producers, who in an earlier era accounted for a relatively small fraction of global demand, became major consumers.

Savings could remain high, even as current consumption grows slowly, while the trade balance would be held in check by higher demand for imported capital goods.

Supply side policies that promote small and medium size enterprises and service industries accommodating domestic demand are also critical to ensuring more inclusive and sustainable growth.

Demand for European goods will increase, and the EU s member states can and should align their economies with US growth.

This would enable the PBC to manage domestic demand by allowing interest rates to rise in order to rein in credit growth and deter reckless investment.

World demand forecasts for 2005 and 2006 point to annual growth rates of 4 to 5 per cent, which would be just enough to accommodate the planned capacity additions.

Even in a situation with relatively slow demand growth and weak prices, new capacity may still be added successfully if production costs are low enough.

For starters, there is the convergence argument. As China grows, its increasing size, wealth, and urbanization will continue to stoke demand for energy, grains, minerals, and other resources.