Germany's economy is shrinking and falling behind in terms of economic output per capita - but the growing population offers an opportunity.
According to a report from www.businessinsider.de, Germany is falling behind in per capita economic output as the economy shrinks and the population grows at the same time. The weak growth is obvious and Germany is stuck. The population has grown to 84.5 million while the economy has stagnated. This has an impact on economic performance as GDP per capita falls. Productivity has fallen even as the number of employed people has reached a record 46 million. Weak economic growth is an additional factor that influences per capita economic output. In addition, Germany's export model has deteriorated, which has a negative impact on growth. The growth forces are dwindling...

Germany's economy is shrinking and falling behind in terms of economic output per capita - but the growing population offers an opportunity.
According to a report from www.businessinsider.de, Germany is falling behind in per capita economic output as the economy shrinks and the population grows at the same time. The weak growth is obvious and Germany is stuck. The population has grown to 84.5 million while the economy has stagnated. This has an impact on economic performance as GDP per capita falls.
Productivity has fallen even as the number of employed people has reached a record 46 million. Weak economic growth is an additional factor that influences per capita economic output. In addition, Germany's export model has deteriorated, which has a negative impact on growth.
The growth forces are dwindling because too little is being invested in new capacities and there is a shortage of workers. This is due to demographic developments, as more people are leaving the labor market than young workers are starting a new career.
Immigration offers a great opportunity to increase growth potential. The immigration of many younger people to Germany can help reduce the labor shortage and increase growth potential.
Current developments suggest that Germany needs to adapt its economic policy and diversify its sources of growth in order to maintain long-term prosperity. This requires increased investment in new capacities and the targeted integration of immigrants into the labor market.
Read the source article at www.businessinsider.de