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Understanding West German economic growth in the 1950s

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  • Eichengreen, Barry
  • Ritschl, Albrecht

Abstract

We evaluate explanations for why Germany grew so quickly in the 1950s. The recent literature has emphasized convergence, structural change and institutional shake-up while minimizing the importance of the post-war shock. We show that this shock and its consequences were more important than neoclassical convergence and structural change in explaining the rapid growth of the West German economy in the 1950s. We find little support for the hypothesis of institutional shakeup. This suggests a different interpretation of post-World War II German economic growth than features in much of the literature.

Suggested Citation

  • Eichengreen, Barry & Ritschl, Albrecht, 2008. "Understanding West German economic growth in the 1950s," LSE Research Online Documents on Economics 22304, London School of Economics and Political Science, LSE Library.
    • Handle: RePEc:ehl:lserod:22304
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    File URL: http://eprints.lse.ac.uk/22304/
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    JEL classification:

    • N0 - Economic History - - General

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