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Germany and its Economy Essays

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Germany and its Economy

Known as the "fair" capital, Germany lies in the center of Europe and in the center of the European home market. Approximately two thirds of the top international fairs take place in Germany. Germany is successful. A leader in world trade, Germany is the third largest economy in the world and the biggest market in Europe. It wasn't always this way though; European power struggles wounded the country in two devastating World Wars in the first half of the 20th century and left the country dominated by the victorious Allied powers of the
US, UK, France, and the Soviet Union in 1945.

Germany has been through all of the phases of the business cycle many times. It even suffered immense depression after …show more content…

In addition to this, an attempt is made to prevent restraints on competition resulting from monopolies and cartels. Since Germany is a market economy, the three economic questions are answered almost the same was as we in the
United Statesanswer them. The consumers of Germany answer the three economic questions by what they buy and don't buy.

Given that Germany is known as a large exporting nation, many kinds of goods are produced there. A large amount of what they export is made up of vehicles, chemicals, machinery, metals & manufactures, foodstuffs and textiles. They also have a large agricultural industry with products such as potatoes, wheat, barley, sugar beets, fruit, cabbages, cattle, pigs and poultry. Germany is also among the world's largest and most technologically advanced produces of iron, steel, coal, cement, chemicals, machinery, vehicles, machine tools, electronics, food and beverages. They make an estimated 506 billion dollars every year in exports and spend 472 billion on imports. The current inflation rate in Germany is around 2.4% and the unemployment rate is 9.4%. Income is measured as the value of an economy's gross domestic product divided by its population. The purchasing power parity was an estimated 2.2 trillion dollars with parity per capita of
$26, 200; the growth rate of GDP was 3% from 2000 to

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