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The German Economy


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Table of Contents

Preface vii Chapter One: Basic Features of the German Economy 1 Chapter Two: The Social Market Economy 24 Chapter Three: The Weak Growth Performance 38 Chapter Four: The Labor Market: High and Sticky Unemployment 69 Chapter Five: The Social Security System under Strain 114 Chapter Six: Ageing as a Challenge over the Next Forty Years 154 Chapter Seven: Germany: an Immigration Country 166 Chapter Eight: Regulation of Product Markets 181 Chapter Nine: Environmental Protection: a German Topic 203 Chapter Ten: The Capital Market and Corporate Governance 213 Chapter Eleven: Human Capital and Technology Policy 244 Chapter Twelve: The Fiscal Policy Stance 261 Chapter Thirteen: Germany in the European Union: Economic Policy under Ceded Sovereignty 292 Chapter Fourteen: The System of Governance in Germany's Social Market Economy 325 Chapter Fifteen: The Need for a Renaissance of the Market Economy 365 References 378 Index 393

Promotional Information

This book will become the source that economists and other scholars will turn to for understanding one of the most influential and important economies in the world. Not only does it describe the German economy and its institutional features, but it also offers analysis and linkages between the institutional framework, policy, and economic performance. -- David Audretsch, Director of the Institute for Development Strategies, Indiana University, author of "Innovation and Industry Evolution" This book's case that resumption of significant growth in Germany depends on removing rigidities in its labor market and social security system is convincingly argued and exceptionally well documented--and it is argued by a German, not by the IMF. Horst Siebert paints the German economy on a large canvas; his analysis stretches well beyond the labor market. Where appropriate, a great deal of detail is offered, in a digestible way. -- Michael Artis, European University Institute, Florence, editor of "The Economics of the European Union" This important book represents an ambitious and welcome attempt to analyse the past forty to fifty years of the German economy, which is vital not only for Europe but also for the world. Horst Siebert is certainly the perfect author for such a volume, and his argument is quite persuasive. -- Andre Sapir, Universite Libre de Bruxelles and Economic Advisor, Group of Policy Advisors to the President of the European Commission

About the Author

Horst Siebert is President Emeritus of the Kiel Institute for World Economics, Steven Muller Professor of Economics at Johns Hopkins University, and Jelle Zijlstra Professorial Fellow at the Netherlands Institute for Advanced Studies. He previously served as a member of the German government's Council of Economic Advisors for twelve years. He is the author of "The World Economy, Economics of the Environment", and the author or editor of numerous other books.


"Anyone looking for a thorough description of Germany's economic system and a detailed analysis of its current and foreseeable economic problems--low growth and high unemployment rates top the list--will find it here."--Choice

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