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Tracking the euro-zone economy in real time

EUROPE'S debt crisis is among the greatest short-term threats to the world economy. The progress of the euro-zone crisis will depends, in turn, on the strength of the euro-area economy. If output is shrinking and unemployment rising, then austerity measures are likely to make economic conditions worse while raising very little new revenue. The euro zone may fall ever deeper into a hole. A growing economy, by contrast, will make it much easier to meet budget obligations. Now-Casting, which publishes "real-time" economic forecasts, produces the chart below. Updated weekly, the chart generates a "real-time" projection of euro-area output. You can see the information that goes into their forecast in the interactive chart below.

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