For many students of Business, Economics & Law, Germany is an attractive location. On one hand, this country possesses a competitive and rapidly growing economy eager to employ highly skilled and well-educated professionals with worldwide experience. Some well known global players on the Fortune 500 listing are German, including Bosch, Siemens, BMW, Bayer AG, SAP AG or Adidas.
There is another compelling reason for Germany to join the world economic club: Its population is aging. The German birth rate is declining and the German population as a whole is aging considerably, much faster than any other European country. By 2060, only three of ten other European countries will have a population over sixty-five percent of the total population of Germany. The United Kingdom, at twenty-four percent, is currently the fastest-aging European country. Germany’s population, while aging fast, is on track to add more workers to its working population than any other country in the European Union after the decade. If current trends continue, by the year 2021, Germany will have a working population of nearly seventy-two million people, the largest in Europe.
The governments of various European Union member states are doing everything in their power to prevent the onset of a new global Great Depression. In the last few months, the European Union has successfully implemented a series of fiscal stimulus programs and budget cuts to stabilize its economy. While this is an important step forward toward ending the current global economic crisis, it is unclear whether the measures will be sufficient to prevent a further downturn from the current crisis. The success of these measures, combined with projections of continued low inflation and low unemployment, should lead business owners to conclude that the time is ripe for Germany to join the European Union.
There are three main reasons why a business should consider investing in a DP. First, the German economy is on the upswing. Over the past decade, it has steadily become more competitive, as the German business community has invested substantially in technology and infrastructure, and the result has been an upsurge in business formation and creation. Second, the German economy is recovering from the recent economic crisis. While the current recession has slowed the German economy slightly, the country’s recovery is expected to continue at a rapid pace over the next several years.
Germany’s political structure is also conducive to the expansion of the country’s business sector. Germany has a unicameral parliament, meaning that each of the major German states has a representative in the lower house of parliament (Bundestag). Because of this structure, there are no powerful regional minorities that can hinder the growth of the German economy. This, in turn, makes it easier for German companies to expand into the global markets.
Finally, Germany’s strong international ties, including the fact that the European Union is one of the most important international trading partners in the world today, make it easy for Germany to attract business and investors from around the world. Germany is an open, tolerant country with a strong sense of tolerance towards other cultures and opinions, and this factor, in combination with the relatively young population that is living in a state of transition, makes it easier for companies to recruit employees from different corners of the world. This will be a major driver of gDP in the future.
So, what are some of the factors that will affect the future of gDP? Some analysts see the global slowdown as a temporary setback. They argue that the German economy will recover from this downward trend over the next few years, especially after the introduction of the euro as its currency in the EU. They also believe that the introduction of the euro will increase competitiveness across Europe, making German companies more attractive for potential business partners. The domino effect that will follow is also something that experts believe will bring about positive changes in the long term. These include lower unemployment and an increase in the number of companies operating in Germany.
On the other hand, others are not so optimistic about the outlook for the German economy. These experts argue that despite the introduction of the euro, the strength of the euro will only strengthen rather than weaken against other currencies in the years to come. In addition, they point out that while Germany has been able to successfully reduce its current level of debt, its ability to overcome the current economic crisis is still in question. Furthermore, they argue that changes in the business environment in germany will not be easy, especially since the country’s largest company, Volkswagen, has already decided to invest almost 100 billion Euros in a car manufacturing division. As a result, experts worry that the German economy will have to suffer great losses in the years to come. Whether or not these estimates are correct remains to be seen.