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The German Economy: At the Mercy of Others

June 29, 2017 The fate of Germany’s economy may rest in things Berlin cannot control.

Summary

Last week, two influential German economic institutes – the Ifo institute and the German Institute for Economic Research, or DIW – published their midyear economic forecasts. They were released after the German central bank, the Bundesbank, published its own forecast, saying that the German economy’s “solid upswing” will continue. Ifo and DIW found similar results, asserting that the German economy will continue its “steady growth.” Overall, there were few differences between the two reports. DIW is more cautious when dealing wit...

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