No 92 - 'German economic growth during the time of crisis'

Institute for Western Affairs' Bulletin (No 92/2012): dr Marta Götz - 'German economic growth during the  time of crisis'

The issues related to economic growth become especially important during the time of crisis. On the one hand, growth is the only way to overcome recession and provides the opportunity to break free from the economically destructive spiral of deflation. It helps to improve the most important economic categories, such as the relation of debt to GDP, at the same time enabling many countries to return to the path of sustainable development and ensuring the favor of financial markets, whose ruthless evaluation often aggravates existing problems. On the other hand, the turbulences cause by the crisis, including the spectacular slumps in economies such as Ireland, being one of the model tiger economies, make one  reconsider the previously applied approach to and perception of economic growth as a constant and systematic increase of GDP. They also make worthwhile the discussion concerning the actual,  sustainable factors and sources of economic growth. This is undoubtedly an issue which should be carefully analyzed, after the world manages to deal with the most urgent problems, by both theoreticians and practitioners of the economic life. Publications, also German ones, such as  Exit. Wohlstand ohne Wachstum by M. Miegel or Das Ende der Welt, wie wir sie kannten by C. Leggewie and H. Welzer, as well as initiatives, including  Beyond GDP,  Glücks BIP or  Zintegrowany indeks pomyślności seem to be a good start for the discussion concerning the subject.