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Measures of External Competitiveness for Germany

Author

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  • Mr. Robert A Feldman

Abstract

This paper assesses Germany's external competitive position from several angles. It first examines movements in several real exchange rate indices. The analysis of competitiveness is then supplemented by using the so-called constant market share approach, and finally by examining briefly both pressures on profit margins in the tradable goods sector as well as export prospects. A key conclusion of the analysis is that the deterioration of Germany's external competitiveness suggested by some commonly used indicators of the real appreciation of the deutsche mark, such as those based on relative unit labor costs in manufacturing, is generally exaggerated.

Suggested Citation

  • Mr. Robert A Feldman, 1994. "Measures of External Competitiveness for Germany," IMF Working Papers 1994/113, International Monetary Fund.
  • Handle: RePEc:imf:imfwpa:1994/113
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    Cited by:

    1. Jost, Thomas, 1997. "Direktinvestitionen und Standort Deutschland," Discussion Paper Series 1: Economic Studies 1997,02, Deutsche Bundesbank.
    2. Chen, Kevin Z. & Duan, Yufeng, 2001. "Competitiveness Of Canadian Agri-Food Exports Against Competitors In Asia: 1980-97," Project Report Series 24042, University of Alberta, Department of Resource Economics and Environmental Sociology.

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