Economic differences between West (GDR) and East (FRG) Germany
East Germany (FRG)
West Germany (GDR)
The Communist economic system
Economic success of the West
West Germany
(Reunification)
- The ecnomony: centrally planned economy (CPE)
- Most Industrialized Comunist Country
- East Banking system
- The pressures of the plan
- technological modernization
- Good marketing techniques
- Cheap labour cost from gues workers
- European Coal and Steel Community
Post War
1950s- Economic Miracle
1960s- First signs if trouble
1970s- Loss of control
1980s- New policies
- knows as the "Ecnomic miracle"
- 20-year economic explansion
Tax laws favoring business owners
East and West UNITED
Communism Long-term Plans
- the Seven-Year Plan (1959-65)
- Berlin Wall (1961)
- Economic success in Agrar Sector
- Foreign trade
Union of the two economies
1 July 1990- the economy in Germany became one
Democracy
- free-market oriented
- foreign investment
- the labor force ↑
Reunification
Reference list
Countriesquest. (2011). “Germany, Economy.” [online] [accessed: 10th of June 2014]. Available at: http://www.countriesquest.com/europe/germany/economy.htm
DAUDERSTÄDT M.(2012). “Germany’s Economy: Domestic Laggard and Export Miracle” [online][accessed: 10th of June 2014]. Available at: http://library.fes.de/pdf-files/id/ipa/09042-20120427.pdf
Henderson D. (2010). “The Concise Encyclopedia Of Economics: German Economic Miracle” [online][accessed: 9th of June 2014]. Available at: http://www.econlib.org/library/Enc/GermanEconomicMiracle.html
Alemazung J. "Developments in the two Germanies East and West Germany after the Division" [online] [accessed: 8h of June 2014]. Available at: https://www.aulis.hs-bremen.de/goto.php?target=file_314104_download&client_id=hsbremen
Thank you for listening