Is Germany once again the sick man of Europe?
Its ills are different from 1999. But another stiff dose of reform is still needed
Nearly twenty-five years ago this newspaper called Germany the sick man of the euro. The combination of reunification, a sclerotic job market and slowing export demand all plagued the economy, forcing unemployment into double digits. Then a series of reforms in the early 2000s ushered in a golden age. Germany became the envy of its peers. Not only did the trains run on time but, with its world-beating engineering, the country also stood out as an exporting powerhouse. However, while Germany has prospered, the world has kept on turning. As a result, Germany has once again started to fall behind.
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This article appeared in the Leaders section of the print edition under the headline “Sick man once more?”
From the August 19th 2023 edition
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