Tag Archives: German economic heaven

Reasons of German economic success

      One of the programs that contribute to German success at being an economic hub in Europe
( especially in highly qualified industrial products ) is the combination or merge between theoretical studies and practical experiences of sudents in highschools before graduation.  They send students at the age of 15 or to 16 to practice what they are learning and get a real life experience and more into depth knowledge of their future career that they are studying or willing to study. For example, a student willing to study mechanical when at highschool mechanical  engineering is sent to a factory to work to get to know if he or she is fit to that job or not. If interested, he or she can receive pre -high school training before even going to college or university.In that manner, students will become more skilled at what they do and improve and increase German human capital which is important to sustainable development. This tradition goes back to more than a century ago in Germany, which inspires many other countries to adopt a similar training program for students. For sure, such a program has to be modified to suit that particular and specific needs and social customs  of each country.

      Germany  can be a reference and an inspiring example for industrial and overall economic success because
German products like cars, chemicals, electronics and utilities are well known for their high quality and greatly demanded overseas. Germany is the second largest world exporter of products and services after China.Many are the famous German companies operating globally like BMW ,Siemens and Faber Castle as only few examples out of many others. Moreover,  the German economy is the largest in the Europe with a GDP of 3,500 billion dollars recently, and greatest guarantee for the unified European currency called the Euro that was adopted  in 1999 for the first time. The European central Bank ( which enjoys relative independence, prints money and controls the financial issues of the EU ) is located in Germany as a sign of economic power of Germany in Eurpean Union and eventually in the world.

Another term that enhances German economic success is that almost 70 billion $ or 2.3 % of all German Gross domestic product
have been spent on research and development , which has been the fourth largest sum of funds in the world after USA, China and Japan in 2011 according to Wikipedia. German labor is innovative in general because it adopts and innovates new technologies.In addition, as far as 11% of German labor works in high technology , which is one the highest in the world according to some sources. This contributes to scientific , technological and thus economic development that attracts many highly skilled labor and highly educated people to stay and work in Germany which benefits from them in many ways.Due to well advanced infrastructure and contiuous structural reforms, this country creates a lot of job opportunities ,so many jobs have been created at all years even in 2008 & 2009. German unemployment rate was 5 % only in October 2014 which is one of the least unemployment rates in the world. Many reforms or corrective steps in the labor markets have been taken by Germany more than 10 years ago.Moreover,Germany like many developed countries has a unemployment ensurance that guarantees at least minimum standard of living. Generally speaking , many reasons make Germany a very brilliant star in the European Union and an economic heaven in the European and global atmosphere.