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.
Michael Hüther / Jürgen Matthes External Publication 18. January 2023
Is the U.S. Inflation Reduction Act Hurting the German Economy?: An Objection to Exaggerated Claims
In an article for Atlantik Brücke, IW Director Michael Hüther and Jürgen Matthes, head of the IW's Global and Regional Markets cluster, assess the implications of the U.S. Inflation Reduction Act (IRA), effective January 1, 2023, for German and European business.
Berthold Busch / Samina Sultan IW-Analyse No. 152 12. January 2023
EU Enlargement? Alternative concepts to full membership
Debate on whether the European Union (EU) should accept new members has recently gained momentum. In June 2022, just months after Russia’s invasion of Ukraine, the European Council granted both the latter nation and the Republic of Moldova the status of ...
IW-Cooperationcluster Makroökonomie and Konjunktur IW-Report No. 67 14. December 2022
The IW Economic Forecast Winter 2022: The Business Cycle in the Grey Zone
The geopolitical situation, the global energy and commodity bottlenecks and the resulting high inflation have considerably dimmed the economic outlook across the world. A slowdown in China and in the advanced economies is hampering global growth, with the ...
IW-Cooperationcluster Makroökonomie and Konjunktur IW
Michael Grömling / Michelle Koenen / Gero Kunath / Thomas Obst / Sandra Parthie IW-Report No. 65 5. December 2022
AIECE General Report Autumn 2022 - Part I
Private households, companies and governments in Europe are facing enormous challenges. First, far-reach-ing transformations in economic life are on the horizon for the current decade and beyond. Demographic developments are exacerbating the shortages of ...
Michael Grömling / Michelle Koenen / Gero Kunath / Thomas Obst / Sandra Parthie IW
Educational attainment of the population in a European comparison
Wido Geis-Thöne
With the increasing shortage of skilled labour against the backdrop of demographic change and the changing demands on employees in the context of digitalisation, decarbonisation and de-globalisation, it is becoming increasingly important for Germany and Europe that the working population achieves the highest possible level of qualification.
Is the U.S. Inflation Reduction Act Hurting the German Economy?: An Objection to Exaggerated Claims
Michael Hüther / Jürgen Matthes
In an article for Atlantik Brücke, IW Director Michael Hüther and Jürgen Matthes, head of the IW's Global and Regional Markets cluster, assess the implications of the U.S. Inflation Reduction Act (IRA), effective January 1, 2023, for German and European business.
EU Enlargement? Alternative concepts to full membership
Berthold Busch / Samina Sultan
Debate on whether the European Union (EU) should accept new members has recently gained momentum. In June 2022, just months after Russia’s invasion of Ukraine, the European Council granted both the latter nation and the Republic of Moldova the status of candidate country, and Georgia the status of potential candidate.
Tailoring the Truth: evidence on parliamentarians’ responsiveness and misinformation toleration from a field experiment
Matthias Diermeier at European Political Science Review
The rise of populist radical right parties (PRRPs) is largely seen to have been triggered by a dealignment between voters and political elites and to have triggered an increasing supply of misinformation.
Matthias Diermeier at European Political Science Review IW
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German Economic Institute (IW) 
