A prospering economy raises the standard of living of the population, creates jobs and fills the state coffers, from which tasks such as education, environmental protection and social security are financed.
About the topic
Over the past 60 years, the social market economy has enabled the citizens of the Federal Republic to increase their nominal income fivefold on average. Even though prosperity has grown considerably over the long term, economic setbacks have had to be endured time and again, because economic growth does not proceed uniformly, but in waves. The yardsticks for economic development include consumption, public and private investment and gross domestic product. A positive economic trend with high growth rates and increasing employment is followed by a downturn with low growth and fewer people in work.
The Institute of the German Economy monitors the current economic situation in Germany and economic developments in other countries using various instruments and regularly publishes economic forecasts. In this way, the IW helps to improve the basis for decision-making in politics and business.
In 2024, the German economy has stagnated, performing at a level that has barely changed since 2019. Its foreign trade is suffering from geopolitical conflicts and the resulting slowdown in the global economy.
Galina Kolev-Schaefer / Samina Sultan IW-Report No. 36 13. September 2024
USA: How important is the economic partnership for us?
Despite the persistent protectionist course of US trade policy in recent years and China's rise as a global economic power, the German and US economies remain closely intertwined.
Berthold Busch / Björn Kauder / Samina Sultan IW-Report No. 34 12. August 2024
The EU and money: Who pays, who gets?
The German net position fell slightly in 2023 compared to the previous year, from 19.7 billion euros to 17.4 billion euros. However, it is still significantly higher than in the pre-Brexit period.
Jürgen Matthes / Edgar Schmitz IW-Report No. 30 11. June 2024
Competitive pressure from China for German companies
A firm survey conducted in March/April 2024 as part of the IW-Zukunftspanel among around 900 German companies from the manufacturing and industrial services sectors shows that around 350 of the companies surveyed have Chinese competitors in their markets.
In 2024, the German economy has stagnated, performing at a level that has barely changed since 2019. Its foreign trade is suffering from geopolitical conflicts and the resulting slowdown in the global economy.
The demographic transition poses major challenges for policymakers, business and society as a whole. Policymakers seeking solutions to these challenges mainly base their decisions on the quantitative data of population forecasts.
USA: How important is the economic partnership for us?
Galina Kolev-Schaefer / Samina Sultan
Despite the persistent protectionist course of US trade policy in recent years and China's rise as a global economic power, the German and US economies remain closely intertwined.
Between „strategic autonomy” and „turning point”: The importance of trade between the EU and Mercosur
Simon Gerards Iglesias / Marie Krpata* / Ana Helena Palermo Kuss*
This policy paper analyses the geopolitical and economic significance of the EU-Mercosur agreement for the European Union (EU) in the context of the EU's new European Economic Security Strategy.
Simon Gerards Iglesias / Marie Krpata* / Ana Helena Palermo Kuss*
IW
FC Bayern Munich footballers advertise for the crypto exchange Bitpanda, Crypto.com advertised with rapper Eminem during the NBA playoffs of the Los Angeles Lakers basketball team, whose arena was renamed “Crypto.com Arena” in 2021.
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German Economic Institute (IW) 
