„A DEEP CRISIS OF OUR ECONOMIC MODEL“

Robert Misik in conversation with Peter Bofinger

„A DEEP CRISIS OF OUR ECONOMIC MODEL“

Recession, Trump shock, tight budgets: How the economy is emerging from the downward spiral.

We are in the midst of a deep economic crisis and are bombarded with bad news on a daily basis. „The situation is worse than it may initially appear,“ said Peter Bofinger at the turn of the year. We are not just experiencing an economic downturn that could be combated by stimulating the economy, for example. The German economic model is now only standing on legs of clay, and so is the Austrian one. The automotive industry, but also the export industry and mechanical engineering are under severe pressure. They need a fundamental transformation. A lot has changed in international competition, not only, but also, due to rising energy prices and thus the cost structure. At the same time, the global economy is sliding towards stagnation, the Trump administration is exacerbating the problems and public budgets - as in Austria - are under strain. Will Europe be able to take countermeasures? What will the German billion-euro investment package achieve? Peter Bofinger, formerly one of Germany's „economic wise men“, analyses the current economic problems relentlessly and describes what needs to be done now to get out of the spiral of bad news.

Peter Bofinger is a German economist and Professor of Economics at the University of Würzburg. From March 2004 to the end of February 2019, he was a member of the German Council of Economic Experts

Moderation Robert Misik, Author and journalist