Is the German Economy Now Destined to Decline?

BY: ATUL SINGH

September brought grim news for Germany: Stubbornly high inflation at +6.1% rekindles memories of the 1920s.

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Inflation at 5.5%, driven by wage pressures, extends beyond the Russia-Ukraine War, affecting all industries.

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Construction orders plummet, an alarming indicator, surging to 44.2% in August from 13.8% in 2022.

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Germany faces housing crisis: Record cancellations, rising costs, insolvencies, and 700,000-home shortage.

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German industry slumps: July 2023 production down 0.8%, carmaking hit by energy costs, stagnation persists.

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Germany's economy falters: Contraction, sinking confidence, and bleak 2023 outlook as worst major performer.

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ifo Business Climate Index down four months in a row, lowest since 2020, rising pessimism ahead.

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Hamburg Commercial Bank's PMI: German factory output worst since 2009, alarming for a quarter-GDP sector.

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