Government austerity is sometimes seen as a problem for Greece or the US, rather than the new global regime. A majority of international CEOs, however, said they were worried about austerity in a comprehensive PwC survey.
The only region where a majority of CEOs isn’t terrified of austerity is the Middle East, where governments hand out as much oil money as they need to keep people happy.
In Europe 63% of CEOs agreed that public sector cuts would slow domestic growth.
In North America austerity is an even bigger concern, affecting 67% of CEOs.
Even more worried are CEOs in East Asia and Africa, probably because government spending drives so much growth in these areas.
Austerity is a bigger concern than political instability, except in Latin America: