The Economics of German unification

The economic integration of Germany has proven to be a massive undertaking. The economies of East Germany and West Germany had vastly different sectorial structures and were clearly at different levels of development. The process of integration continues to be characterized by tremendous structural change, and has enormous implications for the global economy and the European Community in particular. The Economics of German Unificationexamines the most crucial issues in this process of transformation. The contributors discuss how the unification treaty was achieved, and its implications for the key sectors such as agriculture and services. They examine issues which are part of the unification process how unification is being financed, and the process of monetary unification. The global dimension is considered both in monetary terms and in regard to international trade flows. One chapter is devoted to the relationship between wages, productivity and employment, a crucial questionas enterprises in the East struggle to compete with the most efficient manufacturing sector in Europe.