Reputable experts acknowledge malaise in Germany’s economy. The current state of affairs arouses lots of questions. Leading analysts are trying to puzzle out whether the largest European economy has got stuck in a recession or has been going through a temporary slowdown.
Germany was frequently referred to as the powerhouse of the European economy. Nowadays, Germany’s economy is unable to get back on track after narrowly avoiding a recession. As the economy has been hibernating, more and more experts define Germany as the sick man of Europe. This label is given to a European nation hurt by lingering economic woes.
“Whether the economy is creeping along, or contracting slightly, I think is a second-order problem,” Bloomberg cited ex-macroeconomic adviser at Deutsche Bank Thomas Mayer. “I think Germany is competing for the title of the “Sick Man of Europe,” he added.
It is not the first time when Germany has to revitalize its economy. It was termed the sick man of Europe a few years after the reunification in 1990. The painstaking process of binding East and West Germany crippled the robust economic growth achieved after World War II and evoked high unemployment. In December 2022, Russian Senator Aleksey Pushkov said the odds were that Germany’s economy would become the new sick man of Europe due to the government's energy policy.
