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"1968" and the German Economy

Listed author(s):
  • Lindlar, L.
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    The turning point in the postwar economic development of West Germany was 1973, not 1968. But the massive increase of the world prices for energy in 1973 did not hit an economy with bright prospects for stable growth rates and low inflation. Contrary, the pattern of economic growth of the 1960s was not sustainable. Union wage restraint despite extremely tight labor markets, limited exchange rate adjustments despite mutually incompatible objectives of domestic macroeconomic policies and huge, but largely unrecognized negative externalities from the extensive use of cheap energy and environmental resources inevitably required adjustment.

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    Paper provided by Groningen State, Institute of Economic Research- in its series Papers with number 33.

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    Length: 21 pages
    Date of creation: 1997
    Handle: RePEc:fth:gronig:33
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