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Germany since the Fall of the Iron Curtain: The Real Income Effects of Growing Integration in the World Economy

Author

Listed:
  • Gabriel Felbermayr
  • Jasmin Katrin Gröschl
  • Benjamin Jung
  • Gabriel J. Felbermayr

Abstract

Germany's economy has become far more "open" since 1990 for a variety of reasons including the fall of the Iron Curtain, the accession of 16 new EU members, China's rise and WTO accession, the introduction of the euro, the creation of the Schengen Area and Germany's signature of various EU free trade agreements with third-party countries. An empirical analysis conducted on behalf of the German Council of Experts shows that if all of the liberalisation measures taken to date were to be repealed, prosperity in Germany would fall by 5.3%.

Suggested Citation

  • Gabriel Felbermayr & Jasmin Katrin Gröschl & Benjamin Jung & Gabriel J. Felbermayr, 2017. "Germany since the Fall of the Iron Curtain: The Real Income Effects of Growing Integration in the World Economy," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 70(22), pages 30-37, November.
    • Handle: RePEc:ces:ifosdt:v:70:y:2017:i:22:p:30-37
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    References listed on IDEAS

    as
    1. Gabriel Felbermayr & Jasmin Gröschl & Thomas Steinwachs, 2018. "The Trade Effects of Border Controls: Evidence from the European Schengen Agreement," Journal of Common Market Studies, Wiley Blackwell, vol. 56(2), pages 335-351, March.
    2. Marc J. Melitz, 2003. "The Impact of Trade on Intra-Industry Reallocations and Aggregate Industry Productivity," Econometrica, Econometric Society, vol. 71(6), pages 1695-1725, November.
    3. Gabriel Felbermayr & Jasmin Katrin Gröschl & Thomas Steinwachs, 2016. "The trade effects of border controls," ifo Forschungsberichte, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, number 73.
      • Gabriel Felbermayr & Jasmin Katrin Gröschl & Thomas Steinwachs, 2016. "Trade Effects of Border Controls," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 69(05), pages 18-27, March.
    4. Krugman, Paul, 1980. "Scale Economies, Product Differentiation, and the Pattern of Trade," American Economic Review, American Economic Association, vol. 70(5), pages 950-959, December.
    5. Gopinath, G. & Helpman, . & Rogoff, K. (ed.), 2014. "Handbook of International Economics," Handbook of International Economics, Elsevier, edition 1, volume 4, number 4.
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