Jumpstart: The Economic Unification of Germany - Softcover

Sinn, Gerlinde; Sinn, Hans-Werner

Softcover

ISBN 10: 0262691728 ISBN 13: 9780262691727

Publisher: MIT Press, 1994

Synopsis

The unification of Germany is one of the most wrenching and dramatic transitions in economic history. A policy issue of worldwide interest, it holds key lessons for the remaining post-socialist economies. In Jumpstart two well-known German economists synthesize a vast body of literature to present the first well-structured, clearly argued analytical account of the reunification process and the policy alternatives. The Sinns' authoritative and primarily nontechnical account will Interest nonspecialists who want to keep up with economic events. Their summary of the German experience with radical reform will provide a valuable reference for specialists in transition economics. Contrary to fears that German reunification would bring on a resurgence of nationalism, the Sinns point out, It has met with apathy and indifference. Nonetheless, a great deal is at stake in the battle for redistribution, and the present economic chaos poses a serious threat to social stability. The Sinns suggest a "social pact" between labor and management that could put an end to the struggle over distribution and speed up the transformation of the former East German communist economy into a market economy. The core of this pact is a shift In emphasis from factor prices to the fundamental Issues of compensation and the distribution of real wealth.Gerlinde Sinn was formerly Lecturer in the Department of Statistics at Dortmund University and in the Department of Economics at Mannheim University. Hans-Werner Sinn is Director of the Center for Economic Studies at University of Munich.

About this title

Review

" Jumpstart represents the most authoritative and well-researched analysis of German unification to date. The authors present a lucid and cogent assessment of present and future prospects in East Germany, and their sometimes controversial policy recommendations are based on sound economic reasoning rather than legal of political considerations. German policymakers who ignore the message of this book do so at their own peril." Michael C. Burda , Associate Professor of Economics, INSEAD

Synopsis

This work by two German economists synthesizes a vast body of literature to present an account of the German reunification process and the policy alternatives. It discusses currency conversion, privatization and its ensuing problems, and wage policies. The authors propose a participation model that will speed economic recovery, and recommend gradual changes in the price structure and rapid increases in wages - strategies that are offered as an "escape route" from Germany's present economic path.

About this edition

• Publisher: MIT Press
• Publication date: 1994
• ISBN 10: 0262691728
• ISBN 13: 9780262691727
• Binding: Paperback
• Number of pages: 270