Sebastian Gatzer’s Post

𝐖𝐡𝐚𝐭 𝐬𝐡𝐨𝐮𝐥𝐝 𝐆𝐞𝐫𝐦𝐚𝐧𝐲 𝐝𝐨? 𝐏𝐫𝐨-𝐆𝐫𝐨𝐰𝐭𝐡 𝐏𝐨𝐥𝐢𝐜𝐢𝐞𝐬: Embrace innovation, digitalization, and green tech through tax incentives and improved infrastructure. 𝐒𝐭𝐫𝐞𝐧𝐠𝐭𝐡𝐞𝐧 𝐈𝐧𝐝𝐮𝐬𝐭𝐫𝐲: Modernize manufacturing by integrating more technology and automation. 𝐀𝐭𝐭𝐫𝐚𝐜𝐭 𝐅𝐨𝐫𝐞𝐢𝐠𝐧 𝐈𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭: Simplify regulations and create a welcoming environment for global investors. 𝐈𝐭’𝐬 𝐭𝐢𝐦𝐞 𝐟𝐨𝐫 𝐛𝐨𝐥𝐝 𝐜𝐡𝐚𝐧𝐠𝐞. #Germany #Economy #Innovation

"Over the past three years, Germany has slowly but steadily sunk into crisis. The country has seen no meaningful quarterly real GDP growth since late 2021, and annual GDP is poised to shrink for the second year in a row... ...industrial production, excluding construction, peaked in 2017 and is down 16% since then. According to the latest available data, corporate investment declined in 12 of the past 20 quarters and is now at a level last seen during the early shock of the pandemic. Foreign direct investment is also down sharply." Germany needs a new government and new pro-growth policies ASAP. Decades of inept German political leadership have made much of the Germany economy unsuited for the 21st century. Oliver Beige ᴾʰᴰ summed things up nicely recently: "the US is dealing with the social fallout of having managed to enter the information age, while Germany is dealing with the economic fallout of having failed to do so." It's time to turn the page Germany. 🇩🇪 🍺 🥨 https://lnkd.in/dfq9EiKu

3 Reasons Germany is the ‘sick man’ of Europe 🇩🇪📉 Germany’s economy is only 0.2% higher than its pre-pandemic level. Therefore, the Economist called the German economy the ‘Sick Man’ of Europe Here are 3 reasons why the German economy is doing so badly: 1. Energy prices First, Germany's energy-intensive manufacturing sector has been hit hard by high energy prices. 2. China Trade Shift Second, China used to import German cars, but now it competes with its own EVs. 3. Innovation Paralysis Third, low investment in IT and public infrastructure due to strict fiscal rules. Thus, Germany needs some serious medication. What do you think Germany should do to get back on track? Share your thoughts in the comments below! Interested? Here are two great Economist articles on the German economy: 1. Is Germany once again the sick man of Europe? https://lnkd.in/eK-BNHXt 2. Once dominant, Germany is now desperate https://lnkd.in/e37qcw3M

Amidst global economic shifts, Germany continues to shine with remarkable growth and resilience in 2024. Here are some key highlights: 1️⃣ GDP Growth: Germany's Gross Domestic Product (GDP) surged by 3.8% in 2024, marking a significant rebound from previous years and showcasing robust economic performance. 2️⃣ Employment Boom: The nation witnessed a remarkable decrease in unemployment rates, reaching a record low of 3.5% as job creation soared across various sectors. 3️⃣ Export Powerhouse: Germany maintained its position as an export juggernaut, with exports reaching €1.7 trillion, underscoring its role as a global trade leader. 4️⃣ Innovation Drive: The German economy continued its focus on innovation, with substantial investments in research and development, fostering technological advancements and enhancing competitiveness on the global stage. 5️⃣ Sustainable Growth: Embracing sustainability, Germany made significant strides in renewable energy adoption, further solidifying its commitment to environmental stewardship while driving economic growth. As we navigate dynamic global landscapes, Germany's economic resilience and growth serve as a beacon of hope and inspiration. Here's to continued prosperity and progress! 🌟 #EconomicGrowth #Germany #Resilience #Innovation #Sustainability #GlobalEconomy

Impressive! However, Germany's leading economic institutes have revised their forecast for 2024, now predicting a 0.1% contraction in the country's GDP. This follows a 0.3% decline in 2023, making Germany one of the weakest performers in the eurozone. Despite falling inflation, high energy costs, sluggish global demand, and elevated interest rates are dampening consumer spending and industrial activity. The forecast for 2025 and 2026 has also been downgraded, reflecting continued economic challenges.

Germany's economy will grow by a mere 0.1% this year according to the country's five leading economic research institutes. This marks a sharp downward correction from the 1.3% expected late last year. Then again, no growth is the new normal in Germany. There was near-zero GDP growth in the past five years and little to none is expected for the coming ten years. Today's updated forecast: https://lnkd.in/ebaTWxnS The growth outlook (chart K3): https://lnkd.in/eF67fuBD

At the heart of Germany’s economic problems lies its once formidable industrial sector, which is expected to see production fall 3 percent in 2024 for the third year in a row, according to data compiled by the German industrial association BDI. Faced with higher energy prices, environmental and digital services regulation and growing competition from China, companies that once dominated sectors from automotive to machinery and steel now find themselves needing to cut costs and restructure. Why Germany’s Economy, Once a Leader in Europe, Is Now in Crisis https://lnkd.in/eWwzvKGX

Germany, long considered the economic powerhouse of Europe, is grappling with a series of challenges that are threatening its stability. While other advanced economies face similar pressures, Germany’s situation is particularly delicate due to a combination of energy policy, demographic shifts, fiscal restrictions, and global competition. This article, by Aryan Singh, delves into the key factors contributing to Germany's economic slowdown and explores potential strategies to reverse these trends. 1️⃣ High taxes and rising energy costs are driving German industries to shift investments abroad, weakening the nation’s manufacturing and export dominance. 2️⃣ Global competition is pushing German car manufacturers out of key markets, as they struggle to keep pace with the electric vehicle transition. 3️⃣ The Schuldenbremse fiscal policy limits Germany’s ability to invest in infrastructure and innovation, hindering its response to demographic challenges and labor shortages. Find the full article here: https://lnkd.in/ePrma9_B #Economics #Germany #Europe #Economy #Economicstagnation

Germany's economy unexpectedly shrank in the second quarter of 2024, contracting by 0.3%. This downturn follows a slight growth of 0.1% in the first quarter, indicating ongoing challenges for Europe's largest economy. Factors contributing to this decline include weaker exports and sluggish domestic demand. The data has raised concerns about Germany's economic outlook amidst global uncertainties.