Structural Change in Germany: Challenges for Growth and Productivity

Abstract

Germany is at the onset of a profound structural change that will have a lasting impact on the dynamics of productivity and economic growth. Global megatrends such as changes in international trade, digitalisation, decarbonisation and demographic change will accelerate structural change and have far-reaching consequences for productivity growth, the international competitiveness of the German economy and the dynamics of the labour market. The challenges lie, among other things, in securing long-term innovation and productivity growth.