Effects of business development in East Germany on the adaption of productivity after the German Unification


Facts:


Short description:

Since the economic ruin of East Germany in 1990/1991 the results regarding the employment, production and productivity are disappointing - despite of transfers from the west in amount of 75 to 100 billion EUR per year. Based on the extrapolation of todays development there's no indication that the East German economy will consolidate. So western subsidies in amount of three-digit billions will be necessary also in future.

In this context, the following tasks were defined:

  • theoretical and empirical analysis of why East German productivity develops weakly
  • analysis of which economic policy measures are most suitable for improving the economical situation
  • working out the implications of the above results regarding the process of integrating East-European countries in the context of the eastern enlargement of the European Union.
Full description (German)


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