DIW Weekly Report

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Expanding Long-term Care Insurance Could Reduce the Gender Care Gap in Germany

In many European countries, men and women differ significantly in the amount of informal care work they provide for relatives, with women acting as caregivers far more frequently than men. This difference, known as the gender care gap, varies considerably between European countries, with Germany somewhere in the middle of the distribution. This Weekly Report analyzes the institutional, societal, and ...

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200 Years of Sovereign Debt Crises: Serial Restructurings May Be Accompanied by Higher Creditor Losses

Many sovereign defaults have occurred worldwide over the past 200 years. An analysis of 321 sovereign debt restructurings since 1815 shows that foreign private and institutional investor losses were 43 percent on average. Notably, beginning in the 1970s, several debt exchanges have increasingly been required to resolve a default. To understand this new phenomenon better, this Weekly Report looks at ...

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The Energy Transition in France: Expansion of Renewables Stalling, Good Progress on Heat Pumps

The energy transition is a major challenge for both Germany and France. This Weekly Report provides an overview of the short- and long-term goals as well as current developments and trends in France’s energy and climate policy. It reveals that France is largely on track with its greenhouse gases targets and is also making good progress on installing heat pumps. However, its expansion of renewable energy ...

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Share of Women on the Executive Boards of Large Companies Has Increased, but Generally Is at Most One Woman

The number of women serving on the executive boards of large companies in Germany once again increased in 2023: Around 18 percent (153 of 875) of executive board members at the 200 largest companies were women as of late fall 2023, two percentage points higher than in 2022. Thus, growth has slightly picked up again. In some of the groups of companies analyzed, the figure was even higher. Around 23 ...

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Decline in Nominal Construction Volume Expected for the First Time since the Financial Crisis; Residential Construction Situation Worsening

High construction prices and worsened financing conditions are weighing on the construction industry, especially build-ing construction. Despite a nominal increase of six percent in construction expenses in 2023, it decreased by just over one percent in inflation-adjusted terms. In 2024, the nominal construction volume is likely to contract by around 3.5 percent, declining for the first time since ...

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DIW Berlin Economic Forecast: Forecast Ranges from Cloudy to Bright

The recovery of the German economy is becoming an exercise in patience. In the third quarter of 2023 the economy fared worse than expected, in particular because private households continued to spend their money conservatively despite climbing wages and falling inflation. Both private consumption and overall economic output even declined slightly. Now the next challenge has arrived: In November 2023, ...

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Energy and Climate Scenarios Paradoxically Assume Considerable Nuclear Energy Growth

Most climate and energy scenarios created by international organizations and researchers include a considerable expansion of nuclear energy. In the IPCC Sixth Assessment Report, for example, nuclear energy increases from a current 3,000 terawatt hours on average to over 6,000 terawatt hours in 2050 and to over 12,000 terawatt hours in 2100. This doubling and quadrupling of nuclear energy production ...

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New DIW Berlin Model Can Nowcast the Current Income Distribution; Inequality Likely to Slightly Increase in 2023

The unequal distribution of labor income in Germany is a hotly debated topic among policymakers and the general public alike. However, the relevant data for calculating the distribution is usually available with a delay of sometimes over two years. Accordingly, previous studies have only been about the past, not the current, distribution. Generally, the current development of the income distribution ...

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National Hydrogen Strategy: Clear Focus and Consistent Implementation Necessary

Replacing fossil fuels with renewable energy sources is one cornerstone of the energy transition. In certain sectors, green hydrogen will play an important role in the future, as is envisioned in the revised National Hydrogen Strategy recently presented by the German Federal Government. This Weekly Report discusses important changes in this strategy compared to the first National Hydrogen Strategy ...

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Broad Electricity Price Subsidies for Industry Are Not a Suitable Relief Instrument

The sharp rise in electricity prices has led to a discussion on possible subsidies for companies in the form of an industrial power tariff. The subsidies should help companies remain internationally competitive and prevent them from relocating overseas. Although German electricity prices for (industrial) firms are around the European average due to many tax exemptions, they are significantly higher ...