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SHOTLIST 1. Wide of International Monetary Fund (IMF) researchers 2. Wide of reporters 3. SOUNDBITE (English) Simon Johnson, Economic counsellor and director of research department at IMF: "The question is, after the fiscal stimulus wears off, after the money is spent, what's going to happen, and I think, 'nearly stalled' is probably the right wording for the US economy in the next couple of quarters, but we do see a recovery in 2009. Remember, net exports, the export sector is doing very well, and we think that the housing sector will find a bottom sometime in the next few quarters and that will help the US economy have pretty good growth within 2009. If you look at the fourth-quarter on fourth quarter basis, we think that it will be moving back up toward potential by the end of 2009." 4. Wide of news conference 5. Cutaway of deputy director IMF research department Charles Collyns 6. SOUNDBITE (English) Simon Johnson, Economic counsellor and director of research department at IMF: "Euro area growth is also expected to moderate over the course of this year, but regain momentum in 2009. On a fourth quarter of a fourth quarter basis, growth would fall to 1.3 percent in 2008, before recovering to 1.7 percent in 2009, reflecting the drag from high energy and food prices, tighter financial conditions, slowing global activity, and a much stronger euro." 7. Wide of news conference 8. SOUNDBITE (English) Simon Johnson, Economic counsellor and director of research department at IMF: "However, we do continue to think the Chinese renminbi is substantially undervalued and we do think there's scope for further appreciation in China and we think that would be helpful as a set of policies that would slightly reduce growth, rebalance the economy, very much in line with what China has repeatedly stated it would like to do, and we think all of that would be moves in the right direction that will be very timely, in this situation." 9. Profile view of IMF researchers STORYLINE Inflation in the global economy may become the major problem for policy makers in the coming months, researchers from the International Monetary Fund suggested on Thursday. Analysts also say that the global economy is decelerating significantly, and that financial conditions are still very fragile. Global growth is moderating as surging food and energy prices continue to sap the buying power of the world economy. So far, the global economy has taken these shocks in its stride, according to Simon Johnson, Chief Economic Researcher at the International Monetary Fund, but there may not be much room left to absorb additional economic challenges. Johnson refused to declare the US economy in recession, but did suggest that the world's largest economy has "nearly stalled." As for Europe, Johnson said economic growth is expected to moderate during 2008, but begin to pick up steam by the fourth quarter of 2009. Emerging and developing economies are expected to lose further steam throughout 2008, but still maintain a robust 7 percent growth rate. In China, according to the IMF, growth will moderate from near 12 percent in 2007 to around ten percent in 2008-2009. On the subject of the value of the Chinese yuan, Johnson suggested that the currency is undervalued. "We do think there's scope for further appreciation in China and we think that would be helpful as a set of policies that would slightly reduce growth, rebalance the economy, very much in line with what China has repeatedly stated it would like to do," Johnson said. The IMF has raised inflation projections for both advanced and developing economies. In advanced economies, slowing demand should help control inflation, according to Johnson. You can license this story through AP Archive: http://www.aparchive.com/metadata/youtube/fd1634d67986bcaa22f8e9189ce75b37 Find out more about AP Archive: http://www.aparchive.com/HowWeWork