...Linh Pham Germany – Political Structure and Economy HIS200 Dr. Joanne McKay November 24 2013 Germany – Political Structure and Economy After the World War II, the winner of the war divided Germany and its capital, Berlin, among themselves. East Germany, a brand new country that promised to show the world why socialism was the best political system, was occupied and controlled by The Soviet Union. West Germany, called the Federal Republic, was occupied by the Americans, British and French, who would establish a new democratic government that stood in direct opposition to Communism. Because of the citizen’s emigration to West Germany, East Germany government decided to seal the border to stop their people keep moving to the West. On August 13, 1961, the city of Berlin was cut in two by a wall. Everyone could see that the wall was not protecting this country, but imprisoning and hurting people. It has separated friends, families, and a nation for 28 years. Later, when the Soviet Union fell, East Germany made the decision to get rid of the wall. Finally, the Berlin Wall, symbol of Communist Oppression, fell after 28 years marked by violence and tragedy on November 9, 1989. The country has officially reunited. Since then, Germany political system and economy have changed a lot. Unlike a lot of other countries’ political system which essentially have existed in its current form for a long time ago, the current German political system is a much more recent construct dating...
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...------------------------------------------------- Economy of Germany Germany is the largest national economy in Europe, the fourth-largest by nominal GDP in the world, and fifth by GDP (PPP) in 2008. Since the age of industrialisation, the country has been a driver, innovator, and beneficiary of an ever more globalised economy. Germany is the world's second largest exporter with $1.474 trillion, €1.06 trillion exported in 2011 (Eurozone countries are included). Exports account for more than one-third of national output. Germany is relatively poor in raw materials. Only lignite and potash salt are available in economically significant quantities. Power plants burning lignite are one of the main sources of electricity in Germany. Oil, natural gas and other resources are, for the most part, imported from other countries. Germany imports about two thirds of its energy. The service sector contributes around 70% of the total GDP, industry 29.1%, and agriculture 0.9%. Most of the country's products are in engineering, especially in automobiles, machinery, metals, and chemical goods. Germany is the leading producer of wind turbines and solar power technology in the world. The largest annual international trade fairs and congresses are held in several German cities such as Hanover, Frankfurt, and Berlin. Of the world's 500 largest stock market listed companies measured by revenue, the Fortune Global 500, 37 are headquartered in Germany. In 2010 the ten largest were Volkswagen, Allianz...
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...Contents 1.0 1 INTRODUCTION 1 1.1 BACKGROUND OF GERMANY 1 1.1.0 PEOPLE AND SOCIETY OF GERMANY 1 1.2 INTERNATIONAL TRADE STATUS OF GERMANY 2 2.0 INTERNTIONAL TRADING WITH OTHER COUNTRIES 3 2.1.0 GERMANY’S INTERNATIONAL RELATIONSHIP WITH FRANCE 5 3.0 Data collection and Analysis 6 3.1 Data collection 6 3.2 Analysis 7 3.2.1 IMPORT 7 3.2.2 EXPORT 8 3.2.3 REAL GDP 8 3.2.4 INFLATION 9 3.2.5 UNEMPLOYMENT 10 3.2.6 INTEREST RATE 10 3.2.7 EXCHANGE RATE 11 3.2.8 BALANCE OF PAYMENT 11 4.0 IMPORT AGAINST REAL GDP 12 4.1 IMPORT AGAINST CPI 12 4.2 IMPORT AGAINST UNEMPLOYMENT 13 4.3 IMPORT AGAINST INTEREST RATE 13 4.4 IMPORT AGAINST EXCHANGE RATE 14 4.5 IMPORT AGAINST B.O.P 14 4.6 EXPORT VS REAL GDP 15 4.7 EXPORT VS CPI 15 4.8 EXPORT VS UNEMPLOYMENT 16 4.9 EXPORT VS INTEREST RATE 16 4.10 EXPORT VS EXCHANGE RATE 16 4.11 EXPORT VS B.O.P 17 4.12 IMPORT VS OTHER FACTORS 18 4.13 EXPORT VS OTHER FACTORS 18 5.0 ISSUES AND CHALLENGES OF GERMANY 19 5.1 Exporting German Troubles 19 5.2 Industrial Competitiveness 19 5.3 Paying for Europe 20 6.0 RECOMMENDATION AND CONCLUSION 21 6.1 RECOMMENDATION 21 6.2 CONCLUSION 21 References 22 1.0 INTRODUCTION 1.1 BACKGROUND OF GERMANY Germany which is otherwise called the federal republic of Germany which is additionally the parliamentary republic in the western-focal piece of Europe which comprises of 16 bodies electorate and which has held its predominance. Its capital is Berlin and its landmass covers a zone of 357...
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...Euro-zone Debt Crisis Weighs on Germany Economy By Christopher Lawton Published August 13, 2012 Dow Jones Newswires The German economy likely escaped contraction in the second quarter, but hopes that Germany could be spared the effects of the sovereign debt crisis and keep the euro zone out of recession have probably been dashed, analysts say. Germany's preliminary second-quarter gross domestic product, the broadest measure of a country's economic output, likely rose by 0.2% on the quarter, according to 27 analysts surveyed by Dow Jones. Germany's Federal Statistics Office, Destatis, is due to release the data at 0600 GMT Tuesday. In the first quarter, output had risen by a surprisingly robust 0.5%. Germany's Economics Ministry on Friday said the economy likely grew modestly in the second quarter thanks to exports, which rose 1.6%, and to private domestic consumption. That was in line with an earlier statement from the Deutsche Bundesbank, Germany's central bank, which had noted that growth in the construction and the service sector offset weakness in industrial production. Destatis won't provide a full breakdown of its data until August 23. Economists warn that a string of economic data and surveys suggest even this modest economic growth pace won't last. Economic growth outside of Europe is moderating, reducing demand for German exports, while the confidence-sapping effects of the euro-zone debt crisis are finally reaching the country, long seen as immune...
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...to Germany Prepared for Mr. Stephen P. Jones CEO of Grayhat Inc. Oklahoma City, Oklahoma, 73145 Prepared by Grayhat Inc San Antonio, TX 78245 October 04, 2013 Grayhat Inc. 1247 Industrial Drive San Antonio, TX 78245 October 04, 2013 Mr. Steven P. Jones, CEO Grayhat Inc. 10782 Skyline View Rd Oklahoma City, OK 73150 Dear Mr. Jones: In this document you will find the report you requested in August. I have provided the necessary information and made recommendations on a plan of action to expand Grayhat Inc. network security, software manufacturing, and distribution into Germany. My analysis of expansion into Germany covered several critical areas that will help you decide whether or not Grayhat Inc. should expand and build a manufacturing and distribution plant in Germany. To assist us in making that decision, I looked at the government, economy, culture, and competition. Germany is a technologically advanced country which has a stable economy. My research has led me to recommend expansion into Germany. I strongly believe that Grayhat Inc. can be profitable in the long term and become a successful business in Germany. Grayhat Inc. used several resources in forming my analysis. The Central Intelligence Agency's World Factbook, World Bank Group, and The Economist Newspaper were all helpful in answering my research questions. Thank you for allowing me to conduct research into Germany. If...
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...Name Professor Institution Course Date Germany and Canada; Why they are different? Introduction The economic status of a country is determined by various factors and various measures that are compared to other countries. The economic stability of countries is measured with consideration of various elements such as the general income of the citizens, and also the productivity of various groups and organizations in the nations. The economic contributions of economic institutions such as banks, private and public financial institutions are also used to determine the position of nations’ economic status. The index heritage scale is an essential parameter in determination of a country’s economic position in comparison with other nations across the world. The global economy ranking is therefore achieved after a comprehensive analysis of the economic positions of various countries, and this is with comparison of the pillars of the economy of the respective nations. Poverty, poor health and ignorance are considered to be the fundamental contributors of low index heritage scale due to their negative contributions towards the economy of a country. It is the responsibility of the government and key players in the economy of a country to ensure that the economic strategies and activities that they engage in positively help in eradication of poverty, reduction of ill health and control of unawareness among people and organizations. This paper aims at drawing a comprehensive and evidence-based...
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...Country Report GERMANY By: Arun Sareen Content Content 2 1. Introduction: Germany at a glance 3 Graph 1.1: World’s largest economies by GDP 3 Graph 1.2: Key economic indicators in Germany since 2000 4 2. Germany’s economy in the lead up to the crisis 4 Table 2.1: Economic data since unification of Germany 5 3. Impact of the crisis in Germany 6 Graph 3.1: Exports in German compared to largest global exporters since 2000 7 Graph 3.2: Germany vs US employment data 8 4. Recovery of the German economy 8 5. Conclusion 9 6. References 10 Introduction: Germany at a glance Germany is a major economic and political force within Europe, and a founding member of the European Union (EU) since 1993. With a population of 82.1m and a Gross Domestic Product (GDP) of €2.5b, Germany is the most populous member state of the EU and has the largest national economy in Europe (EU website, 2014). As indicated in Graph 1.1 below, Germany also has the fourth largest economy by real GDP globally (behind the US, China and Japan) and is the third largest exporter in the world. Graph 1.1: World’s largest economies by GDP Source: International Monetary Fund, World Economic Outlook Database, April 2014 Exports make up approximately one third of Germany’s GDP and are driven by a strong industrial base. Germany is a major producer and exporter of automobiles, transport equipment, mining products, electronic and communications equipment, chemicals and pharmaceuticals...
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...International Economics The German Economy 10th of December 2015 Groupmembers: Con Brunissandre Baitzouroff Pawel Fedko Ha Pham Thai 1 Morenikeji Aina-Badejo Atiwat Hongupathamchai Table of Contents 1. Introduction………………………………………………………………………………..…….. 4 2. The Structure of German Economy…………………………………………………….. 5 2.1 Import, Export and Trading Partners…………………………………………………………….. 5 2.2 Germany’s Main Economic Sector – The Automotive Industry…………………….. 8 3. The Global Financial Crisis and its effects on Germany……………………….. 9 3.1 What are the origins of the 2008 financial crisis?............................................. 9 3.2 The financial crisis plunged Germany in an economic crisis………………………….11 3.3 Government’s Action to Combat Crisis ………………………………………………………. 16 4. Future Challenges and Outlook for Germany…………………………………...19 5. Conclusion……………………………………………………………………………………….21 6. References……………………………………………………………………………………….22 2 Executive Summary This report provides a concise summary of Germany’s main economic features. It starts off by describing the key sectors and trade patterns that make up German economy. From there, it will further examine how one of the strongest economy in the world was affected by the global financial crisis in 2009, and critically analyze the extensive use of policies used by the German government to counter the crisis. The report will conclude by looking at Germany’s long term key challenges and the prospect...
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...EXECUTIVE SUMMARY This report was commissioned to do an analysis of Germany and make a recommendation as to whether or not to a large Canadian company should expand its foreign operations in Germany. The country was analyzed based on its Macro Environment – country description, Political situation and stability, Legislation, Economic conditions and Cultural issues, as well as on its Factor Endowments. The findings show that Germany has an overall stable and healthy economy with excellent advanced factors of production – especially in regards to productivity and innovation. With new ties to Canada, through CETA, legislation will be easier to deal with. The country also has a similar culture and stable politics. The risks of falling GDP and low FDI do not outweigh the benefits and FDI should soon increase with Germany’s new agreements with Canada and is soon to do a similar deal with the US. It is recommended that foreign operations be expanded into Germany. Operations should proceed cautiously with wages that are stagnant in Germany and try to provide a fair wage to encourage further training and enhance the economy. COUNTRY’S MACRO ENVIRONMENT Country Description: Germany is a highly developed and wealthy OECD country [33] and is the fifth largest economy in the world in terms of PPP [17]. Its GDP/capita in terms of PPP has been on an upward growth trend since 1985 and was just below Canada’s in 2012 (Appendix 1). However, neglect has led to infrastructure that...
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...Name Professor Institution Course Date Germany and Canada; Why they are different? Introduction The economic status of a country is determined by various factors and various measures that are compared to other countries. The economic stability of countries is measured with consideration of various elements such as the general income of the citizens, and also the productivity of various groups and organizations in the nations. The economic contributions of economic institutions such as banks, private and public financial institutions are also used to determine the position of nations’ economic status. The index heritage scale is an essential parameter in determination of a country’s economic position in comparison with other nations across the world. The global economy ranking is therefore achieved after a comprehensive analysis of the economic positions of various countries, and this is with comparison of the pillars of the economy of the respective nations. Poverty, poor health and ignorance are considered to be the fundamental contributors of low index heritage scale due to their negative contributions towards the economy of a country. It is the responsibility of the government and key players in the economy of a country to ensure that the economic strategies and activities that they engage in positively help in eradication of poverty, reduction of ill health and control of unawareness among people and organizations. This paper aims at drawing a comprehensive and evidence-based...
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...Table of Contents Executive summary 2 Problem definition 4 Methodology 4 Research & Findings 5 DESTEP 5 Qualitative characteristics 6 The role of the trade unions 6 Financial system 6 Regulations influencing international trade 7 Taxation 7 The role of the government 8 Corruption 8 Quantitative characteristics 9 BOP (Balance of Payment) 9 Inflation Rate 9 Gross Domestic Product 10 Economic sectors 10 Structure Labor Force 11 Labor Productivity 11 Employment and Unemployment 12 Interest Rate 13 Importance of international trade for national economy 14 Exchange rate of national currency 14 BERI analysis 15 BERI analysis explanation 16 Recommendation & conclusion 17 Appendix 18 Problem definition The reason for coming up with this report was the possibility of an anonymous two billion USD investment into the Estonian economy. It is essential to weight the stability of business environment in order to give a risk estimate. The leading question should therefore be: How high is the risk of investing in Estonia? Methodology In order to decide whether to invest in Estonia or not we had to come up with a certain method of decision making. The following three analyses are meant to create an overall picture of the country. These facts and figures are then put into consideration and are finally converted into a quantitative chart for a BERI analysis. BERI stands for Business Environment Risk Intelligence and is a...
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...Name Professor Institution Course Date Germany and Canada; Why they are different? Introduction The economic status of a country is determined by various factors and various measures that are compared to other countries. The economic stability of countries is measured with consideration of various elements such as the general income of the citizens, and also the productivity of various groups and organizations in the nations. The economic contributions of economic institutions such as banks, private and public financial institutions are also used to determine the position of nations’ economic status. The index heritage scale is an essential parameter in determination of a country’s economic position in comparison with other nations across the world. The global economy ranking is therefore achieved after a comprehensive analysis of the economic positions of various countries, and this is with comparison of the pillars of the economy of the respective nations. Poverty, poor health and ignorance are considered to be the fundamental contributors of low index heritage scale due to their negative contributions towards the economy of a country. It is the responsibility of the government and key players in the economy of a country to ensure that the economic strategies and activities that they engage in positively help in eradication of poverty, reduction of ill health and control of unawareness among people and organizations. This paper aims at drawing a comprehensive and evidence-based...
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...In this essay I will be discussing the impact and significance of the Depression as a barometer of governmental success and failures. I will also explain how the harsh economic times impacted the governments of Europe as well as the maintenance of international peace. In order to support my views I will provide multiple examples to support my views. The Great Depression was a horrific economic depression that impacted countries all over the world in the 20th Century. Some of these effect were long lived and took years to recover. Some of the effects from the Great Depression still happens in today’s society such as rise in unemployment, crime rates and prostitution. As well as the lack of funds for healthcare and public education. The US Great Depression lasted from October 1929 until Franklin D. Roosevelt became President in 1933. The Great Depression disrupted the lives of the Americans because for many years the government and the American people had been on a high for so long and within a blink of an eye the world as so many had grown to know came crashing down. One success which came from the government after the Great Depression was it improved the economic system of the United States. President Roosevelt faced the economic depression head-on once he was elected in office. Within his first 100 days in office, he and his administration created numerous institutions which had been neglected for hundred of years. Alot of the programs that were created were very appreciated...
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...activity regarding there national output and employment/unemployment rates. Being one of Europe's largest national economies Germany has had some recent trouble concerning their national output. Their GDP took a decline in the second quarter of 2014 and news came that “the government this week slashed its official growth forecasts from 1.8% to 1.2% for 2014, and from 2% to 1.3% for 2015” economist (2014). Being a manufacturing industrial giant with companies such as Volkswagen, Bosch, Nivea and numerous more the fact its exports dropped by 5.8% in august shows that this could have been partial reason to the GDP decline. Germany realise heavily on the export of the goods they produce within its country's borders so any decline in this will have a definite affect on the countries economy and as we can see this is what has happened here. The graph below shows Germany's recent forecast of exports which has plunged in the second half of 2014 to -5.8%. Another factor would be Germany’s adjustments on their fiscal policy “a sharp decline in capital investments contributed to a 0.2 percent contraction in the second quarter” Reuters (2014). With the country having a successful surplus in the first half of 2014 it would be expected for Germany to put more investment into the country's infrastructure to maximise growth and help benefit other European countries. Germany has not attempted this and other European countries are raising this issue that its affecting opposing countries in...
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...Background of Literature Review on SMEs in Ghana: Globally, the contribution of Small and Medium Enterprises (SMEs) to the growth of national economies is significant. In the developed economies such as Germany and the United Kingdom small businesses are recognized as the main engines for growth and development. Indeed, studies conducted in recent years in developed markets, including the Freedman studies done in the United Kingdom, confirm that small businesses account for the highest number of registered companies and make significant contributions to economic growth and prosperity. In Ghana, readily available data on SMEs is scarce but statistics from the Registrar General’s Department suggests that 92 per cent of companies registered are micro, small and medium enterprises. SMEs in Ghana have also been noted to provide about 85 per cent of manufacturing employment, contribute about 70 per cent to Ghana’s GDP, and therefore have catalytic impacts on economic growth, income and employment. It is estimated that SMEs employ 22% of the adult population in developing countries (Daniels, 1994; Daniels & Ngwira, 1992; Daniels & fisseha. 1992; Fisseha. 1992; Fisseha & Mcpherson, 1991; Gallagher & Robson, 1995 and Kayanula & Quartey, 2000). The sector employs about 15.5% of the labour force in Ghana (Parker et al, 1994), has experienced higher employment growth than micro and large – scale enterprises. Definition of SMEs There is no single, uniformly acceptable definition of a small...
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