In a March 2023 interview, German Chancellor Olaf Scholz promised his country economic growth reminiscent of the post-war economic miracle. “Because of big investments in climate protection, Germany will achieve growth rates for some time which we last saw in the 1950s and 1960s,” said Scholz. Germany achieved annual growth rates of around 8 percent during the 1950s and early 1960s. Chancellor Scholz reiterated his certainty in the accuracy of his March 2023 forecast during a parliamentary session on July 3, 2024. However, the reality is exactly the opposite!

Germany is once again the sick man of Europe. According to the OECD, global growth is projected to hit 3.1 percent this year, but Germany is expected to lag behind at only around 0.2 percent, the lowest of all OECD countries. On top of this, the number of company bankruptcies in Germany is higher than it has been for 10 years.

Germany was last considered the “sick man of Europe” at the end of the 1990s. However, under the leadership of Social Democrat Gerhard Schröder, significant market economy reforms were implemented, the labor market was liberalized, and the top tax rate was reduced from 53 to 42 percent. These changes were the foundation for Germany’s economic success story in the last 20 years and Angela Merkel benefited from Schröder’s reforms.

During the 16-year Merkel era, no reforms were implemented. Instead, the German energy industry has been transformed into a planned economy under the slogan of the fight against climate change. Germany decided........

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