Compared to last year, the German economy is weakening noticeably. Orders from abroad are decreasing and domestic companies are holding back on investments. However, capacity utilization remains high—also because the government will boost the incomes of private households next year. However, above all, incomes are rising noticeably due to the positive situation in the labor market: the unemployment ...
Marcel Fratzscher, president of the German Institute for Economic Research (DIW Berlin), comments on the latest ECB council meeting as follows:
The political conditions for growth are currently dominated by increased uncertainty; this is particularly weighing on investment activity and slowing down the global economy. DIW Berlin is lowering its forecast slightly for this year and the next to 4.1 percent and 3.9 percent, respectively. However, global expansion appears to remain intact. In developed economies, primarily the good labor market ...
In the SET-Nav project, we push the state-of-the-art of energy-economic-engineering models. Several work packages within the project are dedicated to improve, extend and customize models to better reflect relevant energy system aspects to address the research questions arising from the SET Plan. Models are linked and data is exchanged between them. However, today’s computational limitations...
Calculations based on data from the Socio-Economic Panel (SOEP) show that after the introduction of a statutory minimum wage in Germany in January 2015, the wage growth of eligible employees with low wages accelerated significantly. Before the reform, the nominal growth in contractual hourly wages in the lowest decile, the bottom tenth of the pay distribution, was less than two percent in the long-term ...
