It is now possible to say with greater confidence than three months ago that recovery in the world economy is on the way. The number of countries in which expansionary measures are being taken is steadily increasing and much of the weakness, particularly in the United States, appears recently to have stemmed from stock liquidations which may be in their final stages. At the same time, however, it has become clear that in February we were still underestimating both the depth and the duration of the recession, and even now it is hard to predict when the turning point will come (if indeed it has not already been passed).