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  1. Credit Constraints Rise Marginally

    teaserImage Credit constraints for German trade and industry edged upwards from 14.5 percent in June to 14.6 percent in July. This figure represents the share of companies reporting problems accessing bank credit. The financing environment, especially for banking credit, remains very good for German companies. Details

  2. Germany Redistributes Income Strongly from Top to Bottom

    teaserImage Germany is one of the OECD countries with a particularly low level of income inequality, according to the preliminary results of a study conducted by the Ifo Institute on behalf of the Foundation for Family Business (Stiftung Familienunternehmen). “Germany performs strongly by international comparison when it comes to redistribution,” explains Gabriel Felbermayr, Director of the Ifo Center for International Economics and the study’s managing author. With an average government expenditure ratio, it is possible to strongly reduce the degree of inequality in terms of net income compared to gross income. Details

  3. State of Emergency in France: Is It Impossible to Reform the Country?

    teaserImage Negative reports about France have been piling up for some time. The country is suffering from rising unemployment and permanent budget deficits. Due to its infringement of the Maastricht criteria, the EU threatened France with sanctions; and labour market reforms planned by the French government led to large-scale strikes and blockades. Is a culture of compromise lacking in France? This issue is discussed in ifo Schnelldienst 14/2016 by Henrik Uterwedde, Deutsch-Französisches Institut, Ludwigsburg, Nino Galetti, Konrad-Adenauer-Stiftung, Paris, and Tatjana Saranca, Ronald Bachmann, RWI – Leibniz-Institut für Wirtschaftsforschung, Essen, Eckhard Wurzel, Universities of Göttingen and Konstanz, Ronja Kempin and Aurora Bergmaier, Stiftung Wissenschaft und Politik, as well as Daniela Schwarzer, German Marshall Fund. Details

  4. Ifo Business Climate Index for Eastern Germany Falls

    teaserImage The Ifo Business Climate for trade and industry in the eastern German Länder clouded over somewhat in July on a seasonally adjusted basis. Eastern German companies were markedly less satisfied with their current business situation than in June. They were, however, marginally more optimistic about business developments for the months ahead. Details

  5. Economists Panel for July 2016: Free Trade Agreements TTIP and CETA and Their Impact

    teaserImage In the July issue of the Economists panel by Ifo and FAZ, economics professors at German universities were surveyed on the planned free trade agreements TTIP and CETA. The majority of participants support the planned free trade agreements between Canada and the EU (CETA) and between the USA and the EU (TTIP). Details

  6. German Companies Continue Search for Staff

    teaserImage Potentially higher uncertainty in the wake of the Brexit vote failed to have any negative influence on German companies’ willingness to recruit staff this month. The Ifo Employment Barometer edged upwards to 108.1 index points in July and German companies still plan to recruit additional staff, especially in the service sector. Details

  7. Export Expectations Fall

    teaserImage German business expect fewer stimuli from abroad. Their export expectations fell from 7.9 balance points in June to 5.0 balance points in July. The decline is partly due to uncertainty caused by the Brexit vote. Details

  8. Ifo Business Climate Deteriorates Slightly

    teaserImage Sentiment in the German economy weakened slightly in the wake of the Brexit referendum. The Ifo Business Climate Index fell from 108.7 points in June to 108.3 points in July. This was due to far less optimistic business expectations on the part of companies. Assessments of the current business situation, by contrast, improved slightly. The German economy proves resilient. Details

  9. German Service Sector: Ifo Business Climate Indicator Rises

    teaserImage In the service sector the mood continued to brighten. The business climate indicator rose to 27.6 balance points in July from 27.3 balance points in June. Assessments of the current business situation were downwardly revised slightly, but remained at a very good level. Business expectations, by contrast, improved significantly. In line with these developments, service providers one again plan to recruit more staff. Details

  10. Ifo Export Climate Indicator Rises Sharply

    teaserImage The Ifo Export Climate indicator rose from 0.17 index points in May to 0.39 points in June. The sharp rise was particularly due to an improvement in corporate and consumer confidence abroad, while the slight upturn in price competitiveness also had a stimulating effect on the climate. Details

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