Even though the share of workers retiring prematurely is growing, the average age of the labor force is rising because the younger age groups are contracting and the length of time they spend in education is increasing. And yet the German higher education system is relatively unproductive. While the propensity to study at the college level has increased, for demographic reasons the number of German ...
Following the enormous growth in household incomes in the former East Germany during the first half of the 1990s (which was based, in particular, on meteoric wage rises, accompanying pension adjustments, and the increase in receipt of social welfare benefits), east German incomes subsequently expanded only moderately. Income growth was not as strong as in west Germany, largely because total earned ...
The upswing of the German economy continues and since the beginning of 2017, even at a somewhat faster pace. Sharp gains in employment are still driving consumption. And companies are investing significantly more in machines and facilities. Many global risks that previously limited the propensity to invest—in Germany and many other countries—have vanished. And the euro area is also finally feeling ...
In spring 2013, youth unemployment in the EU peaked and then declined sharply. Yet at least one in every six members of the economically active population between age 15 and 24 in the EU is still unemployed, and the unemployment rate among young persons is still 2.5 times higher than that of adults. The present study shows how young people’s situation in the labor market has developed since 2013. The ...
The German labor market is characterized by marked occupational segregation between women and men. The median earnings in female dominated occupations are lower than those in male dominated professions. This is one of the reasons for the gender pay gap. However, there are also large differences in earnings between men and women within occupations. These profession-specific gender pay gaps are smaller ...
The German economy is on track for continued growth. Due to the unexpectedly robust first six months of 2017, the German Institute for Economic Research is raising its forecast for GDP growth to 1.9 percent for the current year. This year and arguably for the coming two years, the country’s output will exceed potential output; nonetheless, there is no risk of overheating. Economic growth will slow ...
In the last decade the available labor force has expanded in Germany—despite the decline in the working-age population. The reason: labor market participation has increased, for women in particular and older people in general. Also noticeable was a rise in qualification level because well-educated people have a particularly high propensity to participate in the labor market. Most recently, Germany’s ...
