
What’s gone wrong with the German economy?
The Weekly Briefing from Capital Economics
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Challenges and Transformations in the German Economy
This chapter examines the current struggles facing the German economy including slow growth, structural issues, and soft labor markets, with a cautious outlook for the near future. It also explores Germany's economic evolution, from past growth drivers like cheap energy and favorable trade conditions to present challenges such as energy supply shifts, threats to the car industry, and the demand for digital innovation amidst demographic changes.
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