Cohen, Desmond, (2017), “Rethinking German Economic Policy”, Social Europe, 31 May
It is only too evident that economic policy in Germany remains rooted in pre-Keynesian ideas that most macroeconomists rejected many years ago, and this helps explains the German Government’s intransigence in the face of persistent criticism – including now from the IMF.
It has not been prepared to listen despite the fact that its policy stance has directly contributed to years of low economic growth and high unemployment in the EU, especially for other Eurozone countries. In turn, this has undoubtedly been a factor in the rise of right-wing populism throughout Europe.
Relevant Posts
- Fratzscher, Marcel, (2017), «Germany’s Misunderstood Trade Surplus», Project Syndicate, 7 March
- Bossone, Biagio, Labini, Stefano Sylos, (2016), «Macroeconomics in Germany: The forgotten lesson of Hjalmar Schacht», VoxEU, 1 July