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Netherlands: escaping stagnation with a new "polder model"?

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  • Oscar-Erich Kuntze

Abstract

In the Netherlands the real gross domestic product in 2002 increased by around 0.3%, which placed the country in the rear ranks of European states. The unemployment rate increased to 2.7% for the year, and inflation at 3.9% was one of the highest rates in western Europe. This year as well, the economy will remain weak, real GDP expanding only by around ¼%. The situation on the labour market will continue to deteriorate throughout the year, leading to an annual unemployment rate 4%. Inflation will weaken, however, amounting to just 2¾%. In 2004 economic activity will gain momentum and real GDP should grow by 1½%. The unemployment rate will remain at the approximate level of 2003, and consumer prices will increase by 1½%.

Suggested Citation

  • Oscar-Erich Kuntze, 2003. "Netherlands: escaping stagnation with a new "polder model"?," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 56(11), pages 34-42, June.
    • Handle: RePEc:ces:ifosdt:v:56:y:2003:i:11:p:34-42
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    More about this item

    JEL classification:

    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • O52 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Europe

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